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Restructuring
12 Months Ended
Mar. 31, 2020
Restructuring Costs [Abstract]  
Restructuring
Restructuring

Restructuring charges of $17 million, $10 million and $14 million have been recorded by the Company during the fiscal years ended March 31, 2020, 2019 and 2018, respectively, based on restructuring activities impacting certain employees and infrastructure. We recorded restructuring charges based on estimated employee terminations and site closure and consolidation plans. We accrued for severance and other employee separation costs under these actions when it was probable that benefits would be paid and the amount was reasonably estimable. The rates used in determining severance accruals were based on existing plans, historical experiences and negotiated settlements.

Fiscal 2020 Restructuring Plan

In connection with the corporate systems integration and rationalization, management approved a restructuring plan (the “2020 Plan”) in the fourth quarter of fiscal year 2020 to reduce our operating cost structure, improve competitiveness and facilitate the achievement of acceptable and sustainable profitability. The restructuring initiatives include consolidation of infrastructure to achieve operating efficiencies, optimize utilization of facilities and infrastructure, and strengthen the Company’s competitiveness. The 2020 Plan also focuses on transitioning the Company’s leveraged legacy delivery model to a customer-focused model that will facilitate a more effective decision-making process tailored to our customer needs. There were no related liabilities for this plan at March 31, 2020.

Acquired Restructuring Plan

As a result of the Mergers, the Company acquired deferred costs of $7 million associated with restructuring initiatives from prior years that were reimbursable as agreed upon by the Defense Contract Management Agency. During the fiscal year ended March 31, 2019, these remaining costs were recognized as restructuring expense.

Fiscal 2019 Restructuring Plan

In connection with the Spin-Off and Mergers, management approved a restructuring plan (the “2019 Plan”) in November 2018 to better align Perspecta to its mission and business objectives. The restructuring initiatives included a reduction in workforce as well as consolidation of infrastructure to achieve operating efficiencies, optimize utilization of facilities, and strengthen the Company’s competitiveness. The 2019 Plan also focused on transitioning the Company’s legacy delivery model from a centralized, services-focused model to a decentralized, customer-focused model that facilitated a more effective decision-making process tailored to our customer needs. During the fiscal year ended March 31, 2019, expenses of $3 million were recognized and paid under this plan.

Fiscal 2018 Restructuring Plan

On June 30, 2017, Parent approved a restructuring plan (the “2018 Plan”). The restructuring initiatives were intended to reduce Parent’s cost structure and related operating costs, improve its competitiveness, and facilitate the achievement of acceptable and sustainable profitability. The 2018 Plan focuses mainly on optimizing specific aspects of workforce and re-balancing the pyramid structure. Additionally, this plan included facility restructuring.