Cubic layoffs, on the record
Every job cut, severance charge and restructuring Cubic reported in its annual reports, 2018 to 2020, quoted from the filings. Headcount went from approximately 5,600 to approximately 6,100.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2018 | approximately 5,600 | September 30, 2018 |
| 10-K for 2019 | approximately 6,200 | September 30, 2019 |
| 10-K for 2020 | approximately 6,100 | September 30, 2020 |
Job cuts, severance and restructuring
Our summaryCubic restructured in fiscal 2018, recording $5.0 million of restructuring charges, including costs to establish a North American shared services center.
Word for word“In 2018, we incurred $5.0 million of charges related to restructuring.” 10-K for 2018
Our summaryCubic Transportation Systems implemented a restructuring plan to reduce headcount in order to rebalance resources with work levels.
Word for word“In addition, during fiscal 2016, our CTS business implemented a restructuring plan to reduce headcount by approximately 20 in order to rebalance our resources with work levels.” 10-K for 2018
Our summaryCubic recorded restructuring charges in 2017 tied to centralizing manufacturing and eliminating a level of management in the CGD simulator business.
Word for word“In 2017, we incurred $2.3 million of charges for restructuring efforts which included $1.0 million of unallocated corporate expenses incurred to increase the centralization and efficiency of our manufacturing processes, and $0.9 million of restructuring charges incurred by our CGD businesses related to the elimination of a level of management in the CGD simulator business.” 10-K for 2018
Our summaryCubic recorded restructuring charges in 2016 across several business units, including CGD restructuring tied to a business division formalization.
Word for word“In 2016, we incurred $1.3 million of charges related to restructuring, which included $0.3 million incurred by our CGD segment as restructuring costs in connection with the formalization of our CMS business division described above.” 10-K for 2018
Our summaryCubic's employee separation restructuring liability activity, with accrued costs and cash payments during fiscal 2018.
Word for word“Accrued costs 5,018 Cash payments (5,058) Balance as of September 30, 2018 $ 935” 10-K for 2018
Our summaryCubic restructured its supply chain strategy, functional responsibilities, and procurement organization, with mostly consultant costs recognized at the corporate entity.
Word for word“In 2019, we initiated projects to restructure and modify our supply chain strategy, functional responsibilities, methods, capabilities, processes and rationalize suppliers with the goal of reducing ongoing costs and increasing the efficiencies of our worldwide procurement organization.” 10-K for 2019
Our summaryCTS and CGD segments carried out headcount reductions to optimize cost positions, with restructuring charges consisting primarily of employee severance.
Word for word“Also, in fiscal 2019 our CTS and CGD segments incurred restructuring charges, consisting primarily of employee severance costs related to headcount reductions initiated to optimize our cost positions.” 10-K for 2019
Our summaryCubic recorded higher restructuring expenses in fiscal 2020 for consulting and other costs of its NextCUBIC transformation initiatives and for realigning its defense businesses into the CMPS segment.
Word for word“Re structuring expenses increased to $16.6 million in 2020 compared to $15.4 million in 2019.” 10-K for 2020
Our summaryCubic reported consulting and employee severance expenses in fiscal 2020 and 2019 tied to performance enhancement and cost savings measures, including a redesign of its supply chain strategy.
Word for word“Restructuring expenses in fiscal 2020 and 2019 also include consulting and employee severance expenses related to performance enhancement and cost savings measures including the redesign of our supply chain strategy.” 10-K for 2020
| Fiscal year ended | Restructuring charges | Cash paid for restructuring |
|---|---|---|
| 2016-09-30 | $1.3 million | $2.6 million |
| 2017-09-30 | $2.3 million | $1.8 million |
| 2018-09-30 | $5 million | $5.1 million |
| 2019-09-30 | $15.4 million | — |
| 2020-09-30 | $16.6 million | — |
Cubic has filed no restructuring notice (Form 8-K, Item 2.05) since 2016. Companies file one only for a cut they judge material, so many announced layoffs never appear as one. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from Cubic’s annual reports (10-K for 2020, 10-K for 2019, 10-K for 2018) and the financial data it files with the SEC, as of 2020-11-18. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.