15. Restructuring Plan

On January 25, 2023, the Company's board of directors authorized a restructuring plan (the “Restructuring Plan”) that was designed to reduce operating costs and enable investment in key opportunities for long-term growth while driving continued profitability. The Restructuring Plan included a reduction of the Company’s workforce by approximately 7% and a global lease consolidation to create higher density across our workspaces.

The Company incurred restructuring charges of $1.1 million in the three months ended June 30, 2024 and $1.9 million in the six months ended June 30, 2024 consisting of variable facilities related costs on unused space. In the six months ended June 30, 2023, the Company terminated and abandoned various leases of office spaces globally. The Company recorded a reduction in right-of-use assets of $44.6 million and an increase in lease liabilities of $6.3 million for these leases during the period upon the lease terminations or abandonments. In the three months ended June 30, 2023, the Company incurred $63.8 million of restructuring charges in connection with these leases. In the six months ended June 30, 2023, the Company incurred $92.5 million of restructuring charges, composed of $65.6 million related to facilities and $26.9 million for severance, employee related benefits, and other costs, including $1.0 million of stock-based compensation expense. The charges are recorded to the restructuring line item within the consolidated statements of operations.

Future variable facilities related costs for vacated properties will continue to be recorded to restructuring charges. As of June 30, 2024, the Company did not have any remaining liabilities accrued related to the Restructuring Plan.