Verizon Plans to Cut 15,000 Jobs Amid Restructuring Efforts

Verizon, one of the largest telecommunications companies in the United States, is preparing to eliminate approximately 15,000 jobs as part of a restructuring initiative led by its new CEO, Dan Schulman. This move, which accounts for about 15% of its workforce, has been reported by Reuters, citing sources familiar with the situation. A spokesperson for Verizon declined to provide further comments regarding the impending layoffs.

The decision comes as Verizon faces significant challenges with subscriber retention. Schulman’s initial focus is to address the issue of subscriber churn, which has been exacerbated by increasing competition from rivals such as AT&T and T-Mobile US. According to Craig Moffett, a senior analyst at Moffett Nathanson, retaining customers will likely involve subsidizing high-cost devices for many of Verizon’s subscribers.

Details on the Layoffs and Company Strategy

The layoffs are anticipated to commence as early as next week, primarily targeting non-union management positions. Reports indicate that over 20% of this management workforce could be affected. Additionally, Verizon plans to transition approximately 180 corporate-owned retail stores to franchised operations, reflecting a broader strategy to streamline its business model.

Verizon’s workforce numbered around 100,000 employees in the United States by the end of 2024. The company previously announced a voluntary reduction of 4,800 employees last year, resulting in a nearly $2 billion charge.

Market Pressures and Financial Moves

As subscriber growth slows and consumers become more hesitant to invest in premium wireless plans, Verizon is under increasing pressure. The competitive landscape has intensified, prompting the need for significant operational adjustments.

In recent years, Verizon made substantial investments to enhance its market position, including a $52 billion expenditure to acquire key wireless C-Band spectrum in a 2021 auction. Last year, it also struck a $20 billion deal to acquire Frontier Communications and spent $6 billion to secure TracFone Wireless, a provider of prepaid mobile services.

The current wave of layoffs at Verizon reflects a broader trend in the tech industry. Companies like Amazon, Tata Consultancy Services, and Microsoft are also reducing their workforces. According to Layoffs.fyi, over 110,502 tech employees across 226 companies have lost their jobs in 2025 alone, highlighting the challenges many firms face in a rapidly changing economic environment.

Verizon’s restructuring efforts signify a critical response to market conditions and internal challenges, as the company aims to stabilize its operations and maintain competitive relevance in the telecommunications sector.