DHI Group to reduce current workforce by 7% in restructuring

In a regulatory filing, DHI Group disclosed that on July 1, the company announced an organizational restructuring intended to streamline its operations, drive business objectives, and reduce operating costs. This included a reduction of the company’s current workforce by approximately 7%. The restructuring is expected to generate annual cost savings of approximately $4M-$6M. The company estimates that it will incur approximately $1.1M in cash charges related to employee severance and benefits and expects all of the $1.1M to be future cash expenditures. All charges are expected to be recognized in the third quarter of 2024 while the related cash payments are expected to be substantially completed by the end of 2024. “The actions associated with the organizational restructuring are expected to be substantially complete by the end of the third quarter of 2024, subject to local law and consultation requirements. The estimates of the charges and expenditures that the company expects to incur, as well as the estimated cost savings and the timing thereof, are subject to a number of assumptions, including local law requirements in various jurisdictions, and actual amounts may differ materially from estimates. In addition, the company may incur other charges or cash expenditures not currently contemplated due to unanticipated events that may occur in connection with the restructuring,” the filing stated.