The headcount reduction follows a previous 6% cut implemented last January. As of the end of 2024, Forrester employed 1,571 people globally; this latest move will impact staff across multiple geographic regions and business functions. Management began notifying affected employees on Dec. 15 and expects to finalize the process by July 31.

The Financial Impact of Consolidation

Forrester projects the restructuring will result in pretax expenses ranging from $10 million to $10.5 million through the first three quarters of 2026. These costs primarily cover cash severance and related employee benefits. Additionally, the firm plans to exit several smaller office leases both within the U.S. and internationally to streamline its physical footprint.

The office closures are expected to incur approximately $400,000 in non-cash lease impairment charges. According to the Securities and Exchange Commission filing, the company also anticipates roughly $3 million in expenses related to the early termination of contracts. These strategic shifts reflect a tightening environment for professional services as firms prioritize operational efficiency over physical expansion.