In connection with our joint decision to discontinue development of zandelisib outside of Japan, in December 2022, we announced a realignment of our clinical development efforts that streamlined our organization towards the continued clinical development of our two earlier clinical-stage assets, voruciclib and ME-344. As a result, our Board approved a staggered workforce reduction (the Reduction in Force) affecting 28 employees in December 2022 and an additional 26 employees through June 2023, representing an aggregate 51% Reduction in Force. For the three months ended March 31, 2023, we recorded one-time employee benefits of $1.0 million and $0.2 million, within research and development and general and administrative expense, respectively, associated with the termination of 13 employees within research and development departments and one employee in general and administrative departments. For the nine months ended March 31, 2023, we recorded one-time employee benefits of $1.8 million and $0.6 million, within research and development expense and general and administrative expense, respectively, associated with the termination of 31 employees in research and development departments and 11 employees in general and administrative departments. During the three months ended March 31, 2024, no additional one-time employee termination benefits were recorded. For the nine months ended March 31, 2024, we recorded additional one-time employee termination benefits of $169,000 and $168,000 within research and development expense and general and administrative expense, respectively, associated with the termination of six additional employees, three each within research and development and general and administrative departments.

The following table summarizes our activity related to one-time employee termination benefits included in accrued liabilities (in thousands):


	One-time Employee Termination Benefits
Balance at June 30, 2023	$	993
Increase in accrued restructuring		337
Cash payments		(1,322	)
Balance at March 31, 2024	$	8