Companies often use provisions for the restructuring of operations. Restructuring may have a significant impact on the operations of a business, be it through the sale or termination of a business, the closure of a branch, ceasing operations in a particular jurisdiction or the restructuring of a management team. A provision for restructuring costs can only be recognised where management has a legal or constructive obligation to restructure. The business must have a detailed restructuring plan which sets out the parts of the business affected, the locations concerned, details of the employees subject to termination payments, expenditure and timing.