HAPPENING NOW: Verizon’s restructuring plan will cut over 13,000 jobs, sparking concerns about corporate priorities and economic impacts.
Story Overview
- Verizon announces its largest layoff, cutting over 13,000 jobs.
- The restructuring includes converting corporate stores to franchises.
- CEO Dan Schulman cites market pressures and operational complexity as reasons.
- A $20 million fund is established for affected employees.
Verizon’s Massive Layoff Announcement
On November 20, 2025, Verizon revealed plans to lay off more than 13,000 employees, marking its largest job cut to date. This decision comes as part of a broader effort to restructure operations and reduce costs.
The company also intends to convert 179 corporate-owned retail stores into franchises, closing one store in the process. These moves highlight Verizon’s response to mounting market challenges and financial pressures.
Verizon’s U.S. employees will be notified Thursday if they are being laid off in Verizon’s largest-ever round of workforce cuts https://t.co/SQBdi5VJ3L
— WSJ Business News (@WSJbusiness) November 20, 2025
CEO Addresses Operational Challenges
Verizon’s new CEO, Dan Schulman, emphasized the need to streamline operations to better compete in the telecommunications sector. Schulman, who joined the company in October, noted that the current cost structures hinder Verizon’s ability to enhance its customer value proposition.
This restructuring aims to eliminate complexities and inefficiencies that have been slowing Verizon down and frustrating customers.
Verizon’s restructuring is not attributed to its use of artificial intelligence, despite industry trends towards automation. Instead, it reflects the competitive landscape, with rivals offering more affordable plans and aggressive promotions.
Impact on Employees and Market Position
With approximately 100,000 U.S. employees at the end of 2024, Verizon plans to significantly reduce its workforce, which includes nearly 70,000 non-union workers. Over the past three years, the company has already cut almost 20,000 jobs.
To support those affected, Verizon is establishing a $20 million career transition fund, helping employees adapt to the evolving technological landscape.
The layoffs are a strategic response to Verizon’s lagging subscriber growth, as competitors like AT&T and T-Mobile capitalize on new iPhone model launches with enticing discounts and trade-in deals. Verizon’s third-quarter performance saw only 44,000 new monthly bill-paying wireless subscribers, trailing behind its competitors.
