Human resource accounting

Human resource accounting (HRA) is the process of identifying and reporting investments made in the human resources of an organisation. These investments, which necessitate the specialty of human resource accounting because they are generally neglected by standard accounting, comprise the acts of hiring and paying human assets (employees and recruits when considered in terms of their economic value to the organisation) and are accounted for in order to achieve cost effective organizational objectives, monitor and evaluate the use of human resources, determine whether human assets are being conserved or depleted, and aid in the processes of management and decision-making.

Source: Wikipedia — Human resource accounting (CC BY-SA 4.0)