HUMAN RESOURCE COST AND FINANCIAL PERFORMANCE OF LISTED DEPOSIT MONEY BANKS IN NIGERIA
Keywords:
human resource cost, training cost and financial performanceAbstract
This study examined the effect of human resource cost on financial performance of listed deposit money banks in Nigeria. The population of the study consisted of thirteen (13) deposit money banks listed on Nigerian Exchange Group as at 31st December, 2024. Nine (9) banks were taken as sampled. Secondary data was collected from the sampled banks for the period from 2018 to 2024. Data was analysed using descriptive statistics and inferential statistics where panel corrected standard error regression estimation technique was used. Panel corrected standard error regression was used to correct autocorrelation, cross-sectional dependence and heteroskedasticity with panel data model. The result of the study revealed total personnel cost has positive and significant effect on financial performance of deposit money banks in Nigeria. The study also discovered training and development cost has negative insignificant effect on financial performance of listed deposit money banks in Nigeria. The study recommends more spending in total personnel costs as it affect financial performance. Deposit money banks should reduce spending on employee training and development but rather spend on hiring skilled and talented employees from the onset.
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