Massive Layoffs on the Horizon
In a move that underscores the turbulent state of the telecommunications industry, Verizon is reportedly preparing to cut approximately 15,000 jobs, which represents about 15% of its workforce. This drastic measure, as reported by the Wall Street Journal, is part of a broader strategy to reshape the company under the leadership of newly appointed CEO Dan Schulman.
Transitioning to Franchises
The impending layoffs will primarily affect non-union management positions and coincide with a significant shift in Verizon’s retail approach. Up to 200 corporate retail locations are expected to transition into franchised stores, a move that could further streamline operations but raises questions about job security and customer service continuity.
Leadership Changes and Corporate Strategy
Dan Schulman, who took the reins as CEO in October 2025, brings a wealth of experience from his previous role leading PayPal and positions at AT&T and Sprint. His appointment comes at a critical juncture for Verizon, which has been grappling with stagnant subscriber growth and intense competition from both wireless and cable providers. In the third quarter of 2025, Verizon added only 44,000 postpaid subscribers, a stark contrast to the gains reported by its competitors, while also losing 7,000 postpaid connections.
Financial Pressures and Stock Performance
Verizon’s stock performance further complicates its situation; shares are currently valued at just two-thirds of what they were five years ago. However, following the news of the potential layoffs, there was a slight uptick in share prices, suggesting that investors may view these cuts as a necessary step toward financial recovery.
CEO Schulman’s Vision
In his recent statements regarding the company’s financial outlook, Schulman emphasized the need for bold and fiscally responsible actions to redefine Verizon’s trajectory. He articulated a vision for an aggressive transformation of the company’s culture, cost structure, and financial profile, all aimed at prioritizing customer experience and enhancing shareholder returns. “We will aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders,” he stated.
A History of Workforce Reductions
This is not the first time Verizon has resorted to mass layoffs. The company has seen significant workforce reductions in recent years, with around 20,000 employees departing over a three-year span leading up to 2020, alongside layoffs of 4,800 in 2024 and 10,400 in 2018. Such trends raise concerns about the company’s long-term stability and employee morale.
Awaiting Official Confirmation
As of now, Verizon has not officially confirmed the anticipated job cuts or the transition to franchised stores. The lack of communication may lead to uncertainty and speculation among employees and stakeholders alike. The tech industry, already under pressure from economic fluctuations and shifting consumer preferences, will be watching closely to see how Verizon navigates this latest challenge.
Original story: TechRadar
