Restructuring Charges, Net

9 Months Ended

Jan. 31, 2016

7.	Restructuring Charges, Net

During the third quarter of fiscal 2016, the Company implemented a restructuring plan in order to rationalize its cost structure by eliminating redundant positions and consolidating office space due to the acquisition of Legacy Hay on December 1, 2015. This resulted in restructuring charges, net of $30.6 million in the three and nine months ended January 31, 2016, of which $29.9 million relates to severance and $0.7 million, relates to consolidation and abandonment of premises.

Changes in the restructuring liability during the three months ended January 31, 2016 are as follows:


	Severance			Facilities			Total
	(in thousands)
Liability as of October 31, 2015	$	156		$	509		$	665
Restructuring charges, net		29,877			700			30,577
Reductions for cash payments		(7,962	)		(91	)		(8,053	)
Non-cash items		(1,690	)		—			(1,690	)
Exchange rate fluctuations		(119	)		(60	)		(179	)

Liability as of January 31, 2016	$	20,262		$	1,058		$	21,320

Changes in the restructuring liability during the nine months ended January 31, 2016 are as follows:


	Severance			Facilities			Total
	(in thousands)
Liability as of April 30, 2015	$	375		$	771		$	1,146
Restructuring charges, net		29,877			700			30,577
Reductions for cash payments		(8,176	)		(339	)		(8,515	)
Non-cash items		(1,690	)		—			(1,690	)
Exchange rate fluctuations		(124	)		(74	)		(198	)

Liability as of January 31, 2016	$	20,262		$	1,058		$	21,320

As of January 31, 2016 and April 30, 2015, the restructuring liability is included in the current portion of other accrued liabilities on the consolidated balance sheets, except for $0.6 million and $0.3 million, respectively, which are included in other long-term liabilities.

The restructuring liability by segment is summarized below:


	January 31, 2016
	Severance		Facilities		Total
	(in thousands)
Executive Recruitment
North America	$	427	$	19	$	446
Europe, Middle East and Africa (“EMEA”)		3,664		196		3,860
Asia Pacific		421		—		421
South America		186		—		186

Total Executive Recruitment		4,698		215		4,913
Hay Group		15,431		721		16,152
Futurestep		51		122		173
Corporate		82		—		82

Liability as of January 31, 2016	$	20,262	$	1,058	$	21,320


	April 30, 2015
	Severance		Facilities		Total
	(in thousands)
Executive Recruitment
North America	$	51	$	—	$	51
EMEA		210		212		422

Total Executive Recruitment		261		212		473
Hay Group		58		320		378
Futurestep		52		239		291
Corporate		4		—		4

Liability as of April 30, 2015	$	375	$	771	$	1,146