Restructuring and Employee Severance

12 Months Ended

Jun. 30, 2023

3. Restructuring and Employee Severance

The following table summarizes restructuring and employee severance costs:


(in millions)	2023		2022		2021
Employee-related costs	$	39	$	35	$	53
Facility exit and other costs	56		66		61
Total restructuring and employee severance	$	95	$	101	$	114

Employee-related costs primarily consist of termination benefits provided to employees who have been involuntarily terminated, duplicate payroll costs and retention bonuses incurred during transition periods. Facility exit and other costs primarily consist of project consulting fees, accelerated depreciation, professional, project management and other service fees to support divestitures, costs associated with vacant facilities and certain other divestiture-related costs.

In fiscal 2023, 2022 and 2021, restructuring costs were primarily related to the implementation of certain enterprise-wide cost-savings measures and the divestiture of the Cordis business. During fiscal 2023, we also incurred restructuring costs related to certain projects resulting from reviews of our strategy, portfolio, capital-allocation framework and operations. During fiscal 2022, restructuring also included costs related to decreasing our overall office space.

The following table summarizes activity related to liabilities associated with restructuring and employee severance:


(in millions)	Employee- Related Costs		Facility Exit and Other Costs		Total
Balance at June 30, 2021	$	53	$	26	$	79
Additions	49		10		59
Payments and other adjustments	(46)		(26)		(72)
Balance at June 30, 2022	56		10		66
Additions	35		8		43
Payments and other adjustments	(47)		(16)		(63)
Balance at June 30, 2023	$	44	$	2	$	46