Verizon Communications Inc. | Layoff Event

Layoff Details

Reason

Verizon Communications Inc. is undergoing a significant restructuring under its newly appointed CEO, Dan Schulman, who took office in early October 2025. This strategic overhaul, which includes the company's largest-ever layoffs, is a direct response to intense market competition, decelerating subscriber growth, and a mature wireless market where consumers are increasingly reluctant to pay for premium plans. Schulman's vision is to transform Verizon into a 'simpler, leaner, and scrappier business' by implementing aggressive cost transformation, fundamentally rebuilding its expense base, and moving away from an unsustainable reliance on price increases for financial growth. The company has faced mounting pressure from rivals like AT&T and T-Mobile, as well as cable operators entering the mobile service market, resulting in three consecutive quarters of postpaid phone subscriber losses. Schulman emphasized that Verizon's financial growth has relied too heavily on price increases, a strategy he deems unsustainable without corresponding subscriber growth. The layoffs are a critical component of Schulman's comprehensive turnaround strategy, which also includes plans to subsidize expensive handsets to retain customers, strengthen customer loyalty, eliminate practices that detract from customer experience, and leverage AI to simplify offers, all aimed at regaining market share, improving customer experience, and ensuring long-term financial health.

Affected Locations

US (nationwideparticularly impacting corporate-owned retail stores)US (nationwide)Corporate-owned retail stores (approximately 180-200 stores to be transitioned to franchised operations)

Affected Departments

Non-union management ranks (expected to affect over 20% of this segment)5G Acceleration (5GA) team (20-25% cuts rumored)Non-unionized positions across all segments

Stock Performance Around Layoff

Sources (5)