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Defense Restructuring Costs: Information Pertaining to Five Business Combinations

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Report Type Reports and Testimonies
Report Date April 1, 1997
Report No. NSIAD-97-97
Subject
Summary:

For every dollar that the government spends to subsidize defense industry restructuring costs it gets back nearly $2.00 in savings, largely from reduced overhead costs, according to GAO's review of five mergers and acquisitions among major defense contractors. This report also provides information on restructuring costs, including specific costs associated with workforce reductions and the services provided to workers affected by business combinations. It also identifies other funds used to help laid-off workers find new jobs and describes why the effectiveness of restructuring costs used to assist laid-off workers in gaining new employment cannot be determined.

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