Jabil Board Approves Restructuring Plan; To Cut Jobs

(RTTNews) - Jabil Inc. (JBL) disclosed in a regulatory filing on Monday that its board approved a restructuring plan that includes headcount reductions and cost about $200 million to implement.

The company said, on September 26, 2023, the Board of Directors of the company approved a restructuring plan to realign its cost base for stranded costs associated with the company's sale and realignment of its Mobility business and optimize the company's global footprint.

The restructuring action includes headcount reductions across Selling, General and Administrative cost base and capacity realignment.

The company currently expects to recognize about $300 million in pre-tax restructuring and other related costs over the course of the company's 2024 fiscal year. The charges relating to the 2024 Restructuring Plan are currently expected to result in net cash expenditures of about $200 million that will be payable over the course of the company's fiscal years 2024 and 2025.