Restructuring and Employee Severance

9 Months Ended

Mar. 31, 2025

4. Restructuring and Employee Severance

The following tables summarize restructuring and employee severance costs:


	Three Months Ended March 31,
(in millions)	2025		2024
Employee-related	$	22	$	36
Facility exit and other	6		17
Total restructuring and employee severance	$	28	$	53


	Nine Months Ended March 31,
(in millions)	2025		2024
Employee-related	$	41	$	51
Facility exit and other	20		55
Total restructuring and employee severance	$	61	$	106

Employee-related costs primarily consist of termination benefits provided to employees who have been involuntarily terminated, duplicate payroll costs, and retention bonuses incurred during transition periods. Facility exit and other costs primarily consist of project consulting fees, accelerated depreciation, professional project management, and costs associated with vacant facilities.

Restructuring and employee severance costs during the three and nine months ended March 31, 2025 were primarily related to certain initiatives to rationalize our manufacturing operations and the implementation of certain enterprise-wide cost-savings measures.

Restructuring and employee severance costs during the three and nine months ended March 31, 2024 were primarily due to certain projects resulting from the review of our strategy portfolio, capital-allocation framework, and operations, and certain initiatives to rationalize our manufacturing operations.

The following table summarizes activity related to liabilities associated with restructuring and employee severance:


(in millions)	Employee- Related Costs		Facility Exit and Other Costs		Total
Balance at June 30, 2024	$	92	$	5	$	97
Additions	32		—		32
Payments and other adjustments	(42)		(5)		(47)
Balance at March 31, 2025	$	82	$	—	$	82