American telecommunications giant Verizon is preparing to eliminate approximately 15,000 positions in one of the largest workforce reductions in the company's recent history. The dramatic cuts represent about 15% of Verizon's total workforce and come as the company faces slowing subscriber growth and intensifying market competition.
Massive Workforce Reduction Details
The Verizon layoffs are scheduled to begin as early as next week, according to sources familiar with the matter. The job cuts will primarily target non-union management positions, with more than 20% of this segment of the workforce expected to be affected. This strategic move forms part of a comprehensive restructuring initiative under the leadership of new CEO Dan Schulman.
At the end of 2024, Verizon employed approximately 100,000 workers in the United States. This isn't the company's first workforce reduction in recent times - last year, Verizon eliminated 4,800 positions through a voluntary program, resulting in a nearly $2 billion charge.
Broader Restructuring and Market Challenges
Beyond the significant job cuts, Verizon plans to transition around 180 corporate-owned retail stores into franchised operations. This shift represents another strategic adjustment as the telecommunications behemoth navigates a challenging market environment characterized by slowing subscriber growth and consumers becoming increasingly cautious about premium wireless plans.
Senior analyst Craig Moffett from Moffett Nathanson highlighted that CEO Dan Schulman's immediate priority has been to address subscriber churn. "The new CEO's first commitment was to stop the bleeding from subscriber churn, which would require subsidizing expensive handsets for a huge number of Verizon's subscribers to keep them from leaving," Moffett told Reuters.
Growing Competitive Pressure and Acquisition Strategy
Verizon finds itself in an increasingly competitive battlefield, facing mounting pressure from rivals AT&T and T-Mobile US. The company has pursued an aggressive acquisition strategy in recent years, including a massive $52 billion investment to acquire key wireless C-Band spectrum in a 2021 auction.
Other significant acquisitions include a $20 billion deal for Frontier Communications last year and a $6 billion purchase of prepaid mobile phone provider TracFone Wireless. These strategic moves were intended to strengthen Verizon's market position but have coincided with the current restructuring efforts.
Tech Industry Layoffs Trend
Verizon's workforce reduction aligns with a broader trend of job cuts across the technology and telecommunications sectors. According to Layoffs.fyi, a platform tracking global tech industry layoffs, over 110,502 tech workers have been laid off across 226 tech companies in 2025 alone.
Major players including Amazon, IBM, and Tata Consultancy Services have all announced significant workforce reductions. Amazon plans to cut approximately 14,000 positions from its global corporate workforce, while Tata Consultancy Services saw its total workforce decrease by 19,755 employees as of the second quarter of the financial year 2025-26.
Earlier this month, IBM confirmed it would eliminate thousands of roles as part of its strategic shift toward software growth. A company spokesperson stated, "In the fourth quarter we are executing an action that will impact a low single-digit percentage of our global workforce."
The Verizon layoffs represent one of the most substantial workforce reductions in the telecommunications industry this year, signaling ongoing challenges in the sector as companies adapt to changing market dynamics and consumer behavior.
