What Is Human Capital?

Human capital is a concept used by human resource professionals to designate personal attributes considered useful in the production process. It encompasses employee knowledge, skills, know-how, good health, and education, to name a few.

What does human capital mean?

Human capital is a loose term that refers to the educational attainment, knowledge, experience, and skills of an employee. The theory of human capital is relatively new in finance and economics.

What are 3 examples of human capital?

Human capital can include qualities like:
  • Education.
  • Technical or on-the-job training.
  • Health.
  • Mental and emotional well-being.
  • Punctuality.
  • Problem-solving.
  • People management.
  • Communication skills.
James H. Sterling

James H. Sterling

Environmental Science & Climate Journalist

James Sterling reports on renewable energy developments, climate policy, ecological conservation, and green tech innovations around the globe.