XML 36 R21.htm IDEA: XBRL DOCUMENT v3.10.0.1
(15) Accrued Payroll and Benefits Expense
12 Months Ended
Jun. 30, 2018
Accrued Payroll And Benefits Expense  
Accrued Payroll and Benefits Expense

As of June 30, 2018 and 2017, accrued payroll and benefits expense was $1,929,465 and $1,472,773, respectively. Included in the balance as of June 30, 2018 and 2017, was $473,146 and $200,000, respectively, of accrued severance expense for Company personnel including one executive officer. As of June 30, 2018 and 2017, long-term severance accrual included in other liabilities was $258,145 and $0, respectively. Payments will be made in cash over a two year period. The Company recognized $978,433 and $58,182 in severance expense during the year ended June 30, 2018 and 2017, respectively, related to the termination of Company personnel. Severance expense is included in selling, general, and administrative expenses.

 

On August 1, 2018, the Company implemented a reduction of its workforce by four employees to better align its resources with the needs of its business and focus on improving profitability. The Company expects that it will incur severance expense of approximately $85,000, in connection with this reduction in force, which will be recorded in the first fiscal quarter of 2019.