KANKPANG Alphonsus Kechi
Department of Accounting
University of Calabar, Calabar
drkechi@gmail.com
OGAR-ABANG John Oyong
Department of Accounting
University of Calabar, Calabar
OKO John Odama
Department of Accounting
University of Calabar, Calabar
ANIMPUYE Canice
Department of Accounting
University of Calabar, Calabar
ABSTRACT
This study examined effect of human resource cost (HRC) on profitability of quoted oil and gas firms in Nigeria.
The study adopted staff remuneration cost, staff size and staff training and development as proxies of HRC.
Profitability on the other hand, was proxied by profit after tax (PAT). The study adopted an ex-post facto research design. Data for the study was obtained from secondary sources only. The population of the study comprised 15 oil and gas companies quoted on the Nigerian Stock Exchange as at 31st December, 2021. Staff remuneration cost was found to have positive significant relationship with PAT of firms. It was also found that staff size has negative effect on PAT of oil and gas companies while staff training and development cost have significant effect on PAT.
Based on the findings, the study recommends that oil and gas companies should structure their pay system to be more attractive and competitive; and that oil and gas firm’s staff size should be reduced to enhanced efficiency and cost minimization, while training and development programmes should be designed to enhance performance of staff, reduce operational cost and improve efficiency.
Keyword: Human resource cost, profitability, staff remuneration cost, staff training and development cost, staff
size