Human capital is an intangible asset that is not listed on the company’s balance sheet.
They say that human capital includes such qualities as the experience and skills of an employee.
Because not all workers are considered equal, employers can improve human capital by investing in the training, education, and benefits of their employees.
It is believed that human capital is associated with economic growth, productivity and profitability.
Like any other asset, human capital tends to depreciate due to long periods of unemployment and inability to keep up with technology and innovation.