Restructuring and Severance Costs

9 Months Ended

Jul. 31, 2016

Restructuring and Related Activities [Abstract]

In November 2015, the Company implemented a cost reduction plan. In connection with the initial and ongoing plan to reduce costs, the Company estimates that it will incur restructuring charges of approximately $5.5 million in fiscal 2016, primarily resulting from a reduction in workforce, facility consolidation and lease termination costs.

The Company incurred total restructuring and severance costs of $1.0 million for the three months ended July 31, 2016 and $4.6 million for the nine months ended July 31, 2016. The following table presents the restructuring and severance costs for the three and nine months ended July 31, 2016 (in thousands):



	Three Months Ended		Nine Months Ended
	July 31, 2016		July 31, 2016
Staffing Services segment
Severance and benefit costs	$	571	$	1,928
Other	138		293
	709		2,221
Other segment
Severance and benefit costs	46		934
Corporate
Severance and benefit costs	215		1,416
Total restructuring and severance costs	$	970	$	4,571

Consolidated
Severance and benefit costs	$	832	$	4,278
Other	138		293
Total restructuring and severance costs	$	970	$	4,571

Accrued restructuring and severance costs are included in Accrued compensation and Accrued insurance and other in the Condensed Consolidated Balance Sheets. Activity for the nine months ended July 31, 2016 are summarized as follows (in thousands):




Balance at November 1, 2015	$	—
Charged to expense	4,571
Cash payments	(3,607		)
Balance at July 31, 2016	$	964

The remaining charges as of July 31, 2016 for the Staffing Services and Other segments as well as Corporate of $0.7 million, $0.1 million and $0.2 million, respectively, are expected to be paid during fiscal 2016 and 2017.