Al-Hikmah University Journal

The main objective of the study is to investigate the impact of human resource accounting (HRA) on performance. The study also aims to examine the effect of HRA acquisition costs which include recruitment, selection, and placement costs on performance. To achieve this, the study analyzed the effect of recruitment costs on the performance of civil servants in Osun State, Nigeria. It also evaluated the effect of selection costs on performance and examined the impact of placement costs on the performance of the respondents. Primary and secondary data were used for the study. Simple random and purposive sampling was used to select three hundred (300) respondents. Ordinary Least Square Regression analysis (OLS) was used to analyze the effect of each index of HRA-acquisition cost on organizational performance. The result revealed that selection cost has no significant effect on employee performance; recruitment cost does not have a significant effect on employee performance while it was found that placement cost has a positive and significant effect on employee performance. Also, indices of acquisition costs collectively analyzed against employee performance revealed that acquisition costs have a positive and significant effect on employee commitment. The research concluded that HRA has a positive and significant impact on organizational performance. The study suggests that employers invest in their employees to improve performance.