Verizon to Cut 13,000 Jobs in Major Restructuring Effort
In a significant move, Verizon confirmed plans to lay off over 13,000 employees as part of its ongoing effort to streamline operations and create a leaner, more customer-focused organization. The company's CEO, Dan Schulman, announced the layoffs in a memo to staff, citing the need to "build a stronger Verizon" by reducing costs and cutting external labor expenses.
This move comes amid increasing competition in the telecoms industry, as well as a decline in postpaid wireless customers. While Verizon has previously reduced its workforce by about 20,000 jobs over the past three years, this latest round of layoffs constitutes roughly 13% of the company's current full-time employee base.
In addition to reducing headcount, Verizon plans to convert 179 retail stores that it owns into franchised outlets and close one store. The company has also announced a $20 billion takeover of telecoms firm Frontier Communications, which is set to be completed early next year.
Schulman framed the layoffs as a necessary step towards creating a more agile and proactive organization, with a focus on customer satisfaction. "As a customer-first culture, we have to align our teams and resources to create new value for customers and build a faster, stronger and more proactive Verizon," he wrote in his memo.
To support affected employees, Verizon has established a $20 million reskilling and career transition fund, which will provide training and job placement assistance to help workers develop the skills needed to succeed in an increasingly automated industry. This fund is notable for being the first of its kind, with Schulman claiming that it will focus on developing the necessary skill sets as the company enters the "age of AI".
In a significant move, Verizon confirmed plans to lay off over 13,000 employees as part of its ongoing effort to streamline operations and create a leaner, more customer-focused organization. The company's CEO, Dan Schulman, announced the layoffs in a memo to staff, citing the need to "build a stronger Verizon" by reducing costs and cutting external labor expenses.
This move comes amid increasing competition in the telecoms industry, as well as a decline in postpaid wireless customers. While Verizon has previously reduced its workforce by about 20,000 jobs over the past three years, this latest round of layoffs constitutes roughly 13% of the company's current full-time employee base.
In addition to reducing headcount, Verizon plans to convert 179 retail stores that it owns into franchised outlets and close one store. The company has also announced a $20 billion takeover of telecoms firm Frontier Communications, which is set to be completed early next year.
Schulman framed the layoffs as a necessary step towards creating a more agile and proactive organization, with a focus on customer satisfaction. "As a customer-first culture, we have to align our teams and resources to create new value for customers and build a faster, stronger and more proactive Verizon," he wrote in his memo.
To support affected employees, Verizon has established a $20 million reskilling and career transition fund, which will provide training and job placement assistance to help workers develop the skills needed to succeed in an increasingly automated industry. This fund is notable for being the first of its kind, with Schulman claiming that it will focus on developing the necessary skill sets as the company enters the "age of AI".
like what if they dont find new jobs? is that a lot of people who r going to be affected by this... and im all for customer satisfaction but isnt it a bit harsh to make so many people lose their jobz 
... Verizon's all about cutting costs and reducing headcount, which just sounds like a fancy way of saying 'we're gonna lay off people' 
What's really going on here? Are they just trying to squeeze out some savings before the next big thing comes along? 
And what about all those retail stores they're closing? Is that gonna affect the customer experience at all? 
I'm not buying it - Verizon needs to focus on creating value for customers, not just slashing costs and pretending like everything's fine 
.
. 13k jobs gone in one go is huge 
. I hope the reskilling fund helps a lot, 'cause that's some serious support 
.
. Companies are having to adapt fast or risk getting left behind 
. And with AI coming into play, it's all about developing those skills 
. I guess this is a sign of the times... 
. feels like they're trying to streamline but still gonna have to adapt to the changing landscape. hope those 20m for reskillin are enough 
I just heard about Verizon laying off 13,000 employees... I feel bad for those people who are losing their jobs. It's like a big shockwave 
I mean, I know the telecom industry is getting super competitive and all that, but 13,000 people? That's like, half of their workforce! 
How are they going to keep providing good service if they're not even hiring anyone new anymore? 
Verizon's latest move to cut 13k jobs is a massive red flag! It's like they're trying to make us forget about all those failed promises to improve customer service and expand network coverage 
. I mean, what's next? Cutting our jobs too? 
.