In recent years, we have undertaken actions to transform our cost structure and enhance operational efficiency. These efforts include restructuring the organization, optimizing the manufacturing footprint, R&D operations and supply chain network, employing disciplined cost management and centralizing and streamlining certain support functions. From the commencement of our business optimization activities in the second half of 2015 through December 31, 2022, we have incurred cumulative pre-tax costs of approximately $1.4 billion related to these actions. These costs consisted primarily of employee termination costs, implementation costs, contract termination costs, asset impairments and accelerated depreciation. We currently expect to incur additional pre-tax cash costs of approximately $46 million through the completion of the initiatives that are currently underway. We continue to pursue cost savings initiatives, including those related to our integration of Hillrom, and, to the extent further cost savings opportunities are identified, we would incur additional restructuring charges and costs to implement business optimization programs in future periods.

Costs to implement business optimization programs for the years ended December 31, 2022, 2021 and 2020, respectively, consisted primarily of external consulting and transition costs, including employee compensation and related costs. The costs were primarily included within cost of sales, SG&A expense and R&D expense.

During the years ended December 31, 2022, 2021 and 2020, we recorded the following restructuring charges:


	2022
(in millions)	COGS		SG&A		R&D		Total
Employee termination costs	$	24	$	102	$	3	$	129
Contract termination and other costs	—		22		—		22
Asset impairments	2		10		—		12
Total restructuring charges	$	26	$	134	$	3	$	163
	2021
(in millions)	COGS		SG&A		R&D		Total
Employee termination costs	$	37	$	35	$	1	$	73
Contract termination and other costs	—		2		—		2
Asset impairments	16		—		—		16
Total restructuring charges	$	53	$	37	$	1	$	91
	2020
(in millions)	COGS		SG&A		R&D		Total
Employee termination costs	$	36	$	54	$	2	$	92
Contract termination and other costs	4		4		—		8
Asset impairments	8		3		—		11
Total restructuring charges	$	48	$	61	$	2	$	111

For the year ended December 31, 2022, $85 million of the restructuring charges reflected in the table above were related to integration activities for the Hillrom acquisition, consisting of $55 million of employee termination costs, $22 million of contract terminations and other costs and $8 million of asset impairments.

In conjunction with our business optimization initiatives, we sold property that resulted in a gain of $17 million in 2020. This benefit is reflected within other operating expense (income), net in our consolidated statement of income (loss) for the year ended December 31, 2020.

The following table summarizes activity in the liability related to our restructuring initiatives.


(in millions)
Liability balance as of December 31, 2019	$	92
Charges	116
Payments	(86)
Reserve adjustments	(16)
Currency translation	7
Liability balance as of December 31, 2020	113
Assumed in acquisition	6
Charges	94
Payments	(78)
Reserve adjustments	(19)
Currency translation	(7)
Liability balance as of December 31, 2021	109

Charges	172
Payments	(145)
Reserve adjustments	(21)
Currency translation	(8)
Liability balance as of December 31, 2022	$	107