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Cost reduction actions
 12 Months Ended
Dec. 31, 2016
Restructuring and Related Activities [Abstract]  
Cost reduction actions
Cost reduction actions
In 2015, in connection with organizational initiatives to create a more competitive cost structure and rebalance the company’s global skill set, the company initiated a plan to incur restructuring charges currently estimated at approximately $300 million through 2017.
During 2015, the company recognized charges of $118.5 million in connection with this plan, principally related to a reduction in employees. The charges related to work-force reductions were $78.8 million and were comprised of: (a) a charge of $27.9 million for 700 employees in the U.S. and (b) a charge of $50.9 million for 782 employees outside the U.S. In addition, the company recorded charges of $39.7 million comprised of $20.2 million for asset impairments and $19.5 million for other expenses related to the cost reduction effort. The charges were recorded in the following statement of income classifications: cost of revenue – services, $52.3 million; cost of revenue – technology, $0.3 million; selling, general and administrative expenses, $53.5 million; and research and development expenses, $12.4 million.
During 2016, the company recognized charges of $82.1 million in connection with this plan. The charges related to work-force reductions were $62.6 million, principally related to severance costs, and were comprised of: (a) a charge of $7.0 million for 351 employees in the U.S. and (b) a charge of $55.6 million for 1,048 employees outside the U.S. In addition, the company recorded charges of $19.5 million comprised of $0.7 million for net asset sales and write-offs, $5.5 million for idle leased facilities and contract amendment and termination costs and $13.3 million for professional fees and other expenses related to the cost reduction effort. The charges were recorded in the following statement of income classifications: cost of revenue - services, $42.4 million; selling, general and administrative expenses, $38.0 million; and research and development expenses, $1.7 million.
The following table presents a reconciliation of the work-force reduction liability:
 
 
Total

 
U.S.

 
International

Charges for work-force reductions
 
$
78.8

 
$
27.9

 
$
50.9

Payments
 
(45.3
)
 
(23.7
)
 
(21.6
)
Translation adjustments
 
(0.5
)
 
  
 
(0.5
)
Balance at December 31, 2015
 
33.0

 
4.2

 
28.8

Additional Provisions
 
66.9

 
8.3

 
58.6

Payments
 
(59.3
)
 
(9.4
)
 
(49.9
)
Changes in estimates
 
(4.3
)
 
(1.3
)
 
(3.0
)
Translation adjustments
 
(1.1
)
 
—

 
(1.1
)
Balance at December 31, 2016
 
$
35.2

 
$
1.8

 
$
33.4

Expected future payments on balance at December 31, 2016
 
 
 
 
 
 
In 2017
 
$
21.2

 
$
1.8

 
$
19.4

Beyond 2017
 
14.0

 
—

 
14.0