Consequences of fraudulent financial reporting on companies human resources

Document Type : Original Article

Authors

1 Assistant Professor, Department of Accounting, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, Iran.

2 Associate Professor and Faculty Member of Allameh Tabatabai University

3 Master of Accounting, University of Mazandaran

10.22080/shrm.2021.3397

Abstract

Fraudulent financial reporting has adverse effects on external and internal groups, including human resources. If employees are affected by the company's fraudulent financial reporting, they will be harmed along with other shareholders. The purpose of this study is to investigate the consequences of fraudulent financial reporting on corporate human resources. For this purpose, a sample of 165 companies listed on the Tehran Stock Exchange for a period of 10 years from 2009 to 2018 was used. The present study is a descriptive-analytical research in terms of classification in terms of method, and since the historical information of companies has been used, it is also an applied research based on the purpose. To measure human resources, two indicators of changes in the number of employees as well as their salaries have been used. The research data were extracted from the financial statements of companies and analyzed using a regression model using a combined data method using Ives software. Findings showed that in the years under review, there was a significant relationship between fraudulent financial reporting and changes in the number of employees in the fraud period and before and after fraud, and also between fraudulent financial reporting and staff salaries in the fraud period and previous periods. And there is a significant relationship after cheating. These relationships are significantly different in high-growth and low-growth companies.

Keywords

References

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Journal of Sustainable Human Resource Management
Volume 3, Issue 4
May 2021
Pages 144-127

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