Impact of Human Resource Accounting on the Financial Performance of Deposit Money Banks in Nigeria

Authors

  • Faith Afoke Oyaide Department of Accounting & Finance, Baze University, Abuja, Nigeria.
  • Ibrahim Yakasai Aminu Department of Accounting & Finance, Baze University, Abuja, Nigeria.
  • Saheed Ademola Lateef Department of Accounting & Finance, Baze University, Abuja, Nigeria

DOI:

https://doi.org/10.33003/fujafr-2024.v2i4.142.74-81

Keywords:

Human Resource Accounting, Financial Performance, Staff Remuneration, Staff Training, Cost of Healthcare

Abstract

This study investigated the impact of human resource accounting on the financial performance of deposit money banks in Nigeria. Specifically, the study examined the impact of staff remuneration, staff training, and the cost of healthcare on the financial performance of Deposit Money banks in Nigeria. The study adopted the ex-post facto research design. Data were sourced from annual published accounts of Deposit Money Banks listed on the Nigerian Stock Exchange for the period 2018-2022. Descriptive statistics and correlation were used in the analysis of the data. Panel analysis was further used to test the hypotheses at the 5% level of significance. Findings from the investigation revealed that staff remuneration and the cost of health care and safety have no significant effects on EPS, while the cost of staff training has a significant effect on EPS of the sampled listed deposit money banks. The study, therefore, recommended the need for staff remuneration to be improved so that banks’ staff can put in their best to achieve better performance.

References

Ajayi, A. & Adegbite, M. (2022). Human resource investments and profitability of Nigerian manufacturing firms. Journal of Business and Economic Development, 9(3), 45-58.

Akinjare, Y.S., Idowu, M.A. & Sule, T.O. (2019). The impact of human resource accounting (HRA) on the performance of Nigerian firms. JABU International Journal of Social and Management Sciences 7(1), 251-269.

Amahalu, N., Okika, E. C. & Mary, C. A. (2016). The impact of human resource accounting on the profitability of a firm, European Journal of Accounting, Auditing and Finance Research, 2(5), 13-17.

Bullen, M. L. & Eyler, K. (2010). Human resource accounting and international development: Implication for measurement of human capital. Journal of internal business and cultural studies, 1-16.

Edom, G. O., Inah, E. U. and Adanma, E. S. (2015). The impact of human resource accounting on the profitability of a firm, European Journal of Accounting, Auditing and Finance Research, 3(7), 12-19.

Edom. G.O. (2019). The Impact of Human Resource Accounting on the Profitability of Firms in Nigeria. thesis Presented to the Department of Accounting University of Nigeria Nsukka for the Award of MSc in Accounting.

Gbadago, P.G. & Honyenuga, A.B. (2017). The impact of occupational health and safety on performance. Global journal of medical research 17(5), 1-10.

Huang, W. & Jao, Y. (2016). Comparison of the influences of structured on-the-job training and classroom training approaches on trainees‟ motivation to learn. Human Resource Development International, 19(2), 116-134.

Ijeoma, N. & Aronu, C. I. (2013). Effect of human resource accounting on financial statement of Nigerian Banks. International Journal of Advancements in Research & Technology 2(5), 45-48.

Khan, K. & Baloch, N. (2017). Impact of training on employee development and other behavioral outcomes: a case of public accountant trainees in Khyber Pakhtunkhwa. Journal of Managerial Sciences, 11(1), 93-107.

Micah, L. C., Ofurum, C. O. and Ihendinihu, J.U. (2012). Firms financial performance and human resources accounting disclosure in Nigeria. International Journal of Business and Management, 7(14), 67-75.

Muchemedzi, P.B. & Charamba, N.V. (2006). Human Resource Accounting and Performance of Firms in Canada. Journal of Pure and geo-Physics 10(2), 23-34.

Ndum, N. B. &Oranefo, P. (2021). Human resource cost and financial performance: a study of quoted brewery firms in Nigeria. International Journal of Innovative Finance and Economics Research 9(2), 73-84.

Nwauzor, C.O. &Tamunoemi, B. L. (2020). Human capital accounting and firm performance: a study of oil and gas firms in Nigeria. Journal of Economics, Management & Social Science 6(2).

Ofurum, C. O. & Adeola, S. O. (2015). Human resource accounting and profitability. International Journal of Advance Academic Research, 4(6), 45-50.

Ofurum, C.O. (2018). Human Resource Accounting and Profitability of Quoted Firms in Nigeria. International Journal of Advanced Academic Research 4(2), 4288-9847.

Oladele, O. P. Aribaba, F. O., Ahmodu, O. L. & Omobola, M. A. (2018). An empirical study of human resource accounting disclosure on financial performance of selected listed firms in Nigeria. Journal of Accounting and Management 8(2).

Olaoye, C. O & Afolalu, A. B. (2020). Effect of human capital accounting on earning per share of equity owners of deposit money banks in Nigeria. African Journal of Business Management 14(11), 485-497.

Olayinka, A. O. & Adegbie, F. F. (2020). Human resource accounting and quality of financial reporting of quoted oil and gas companies in Nigeria. International Journal of Accounting, Finance and Risk Management 5(4), 195-206.

Omodero, C. O. & Ihendinihu (2017). Human Resource Accounting and Firm Financial Performance in Nigeria. International Journal of Interdisciplinary Research Methods 4(2), 25-33.

Omodero,C. O., Alpheaus, O.E., & Ihendinihu, J.U.(2016). Human resource costs and financial performance: Evidence from selected listed firms in Nigeria. International Journal of Interdisciplinary Research Methods,3(4),14-27

Parameswaran, R. & Jothi, K. (2005). Human resources accounting. The Chartered Accountant, 867-874. Retrieved from http://220.227.161.86/10501jan05p867-874.pdf.

Rogers, F. A. and Wright, B. E. (1998). Human resources management on organizational performance. International Journal of Financial Research,31(14), 236-245.

Surarchith, D. S. & Kirisha M.V. (2018). Effect of Human Resource Accounting on Performance of Firms in India. International Journal of Pure and Applied Mathematics 118(20), 4833- 484.

Surbhi, S. (2015). Differences between Salaries and Wages. Retrieved on 24th January 2020.

Syed, A. M. (2009). Human resource accounting disclosure of Bangladeshi companies and its association with corporate characteristics. BRAC University Journal, (1)1, 35-43.

Yinka, C.O (2017) The Impact of Remuneration on Employees' Performance: A Study of Abdul Gusau Polytechnic. Arabic Journal of Business and Management Review 4(2), 34-42.

Downloads

Published

31-12-2024

Issue

Vol. 2 No. 4 (2024): December 31, 2024

Section

List of Contents

License

Copyright (c) 2024 FUDMA Journal of Accounting and Finance Research [FUJAFR]

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

The FUDMA Journal of Accounting and Finance Research (FUJAFR) operates a copyright policy that ensures a balance between author rights and wide dissemination of scholarly work.

1. Author Copyright Retention

Authors retain full copyright of their published work without restriction. Submission to FUJAFR does not transfer ownership of copyright to the journal.

2. License to Publish

By submitting a manuscript and upon acceptance, authors grant FUJAFR:

  • The right to publish, reproduce, and distribute the article
  • The right to identify itself as the original publisher of the work

This grant is non-exclusive, meaning authors are free to reuse their work in other contexts, provided proper acknowledgment of the original publication in FUJAFR is made.

3. Licensing of Published Content

All articles are published under the:

Creative Commons Attribution-NonCommercial License (CC BY-NC 4.0)

Under this license:

  • Users may share and adapt the work for non-commercial purposes only
  • Proper attribution to the author(s) and the journal is required
  • Any commercial use requires explicit permission from the copyright holder

4. Author Reuse Rights

Authors are permitted to:

  • Archive their published articles in institutional repositories or personal websites
  • Share their work for educational and research purposes
  • Reuse portions of their work in future publications (e.g., books or other articles), provided proper citation of the original publication is included

5. Third-Party Content

Authors are responsible for obtaining permission to use any third-party copyrighted material (e.g., images, tables, datasets) included in their manuscripts. Proper acknowledgment must be provided where required.

6. Attribution Requirement

All users of FUJAFR content must provide appropriate credit, including:

  • Author name(s)
  • Article title
  • Journal name (FUJAFR) 
  • Year of publication 

How to Cite

Oyaide, F. A., Aminu, I. Y., & Lateef, S. A. (2024). Impact of Human Resource Accounting on the Financial Performance of Deposit Money Banks in Nigeria. FUDMA Journal of Accounting and Finance Research [FUJAFR], 2(4), 74-81. https://doi.org/10.33003/fujafr-2024.v2i4.142.74-81

Similar Articles

101-110 of 145

You may also start an advanced similarity search for this article.

Most read articles by the same author(s)