Restructuring and Other Charges

3 Months Ended

Dec. 31, 2022

Restructuring and Related Activities [Abstract]

Restructuring and Other Charges

3. Restructuring and Other Charges

Restructuring and other charges, net includes restructuring charges (credits) and impairment and accretion expense charges related to the lease assets of exited facilities.

Restructuring Charges (Credits)

In the first quarter of 2022, we committed to a plan to restructure our workforce and consolidate select facilities to align our customer facing and product-related functions with the SaaS industry best practices and accelerate the opportunity for our on-premises customers to move to the cloud. The restructuring plan resulted in charges of $33.1 million in 2022, primarily associated with the termination benefits for approximately 330 employees.

The following table summarizes restructuring accrual activity for the three months ended December 31, 2022:

(in thousands)	Employee Severance and Related Benefits			Facility Closures and Related Costs			Total
Accrual, October 1, 2022	$	346		$	589		$	935
Credits to operations, net		(18	)		(296	)		(314	)
Cash disbursements		(71	)		(301	)		(372	)
Other non-cash		—			15			15
Foreign exchange impact		21			—			21
Accrual, December 31, 2022	$	278		$	7		$	285

The following table summarizes restructuring accrual activity for the three months ended December 31, 2021:

(in thousands)	Employee Severance and Related Benefits			Facility Closures and Related Costs			Total
Accrual, October 1, 2021	$	1,981		$	3,505		$	5,486
Charges to operations, net		34,072			72			34,144
Cash disbursements		(9,145	)		(683	)		(9,828	)
Foreign exchange impact		(117	)		—			(117	)
Accrual, December 31, 2021	$	26,791		$	2,894		$	29,685

The accrual for employee severance and related benefits is included in Accrued compensation and benefits in the Consolidated Balance Sheets.

The accrual for facility closures and related costs is included in Accrued expenses and other current liabilities in the Consolidated Balance Sheets. In addition to the payments referenced above, In the three months ended December 31, 2022 and December 31, 2021, we made net payments of $0.2 million and $0.7 million, respectively, related to lease costs for exited facilities.