Verizon Communications Inc. plans to eliminate roughly 15,000 jobs as part of a sweeping cost-cutting initiative under newly appointed Chief Executive Officer Daniel Schulman, according to people familiar with the matter. The reductions—amounting to about 15% of the company’s nearly 100,000 employees at the end of last year—will be communicated to affected staff in the coming days.
Most of the cuts will come through traditional layoffs, though about 200 company-owned retail locations will be converted to franchise operations, shifting those workers off Verizon’s payroll.
The move underscores Schulman’s push to streamline operations and boost efficiency as the US wireless industry faces intense competition and lingering inflationary pressures that have squeezed margins across the sector. Despite the scale of the workforce overhaul, Verizon shares ticked higher on Thursday, reflecting investor confidence that the restructuring could help stabilize profitability.
Schulman, who stepped into the CEO role amid a broader leadership shakeup, is expected to pair targeted investments with aggressive cost reductions. The strategy aligns with expectations from analysts who anticipated a sharper financial discipline under the new leadership.
“It’s not surprising to see Verizon leaning harder into cost cuts at this stage,” said Sam McHugh, an analyst at BNP Paribas. “The competitive environment demands it.”
Verizon aims to position itself for steadier, long-term growth, with analysts noting that reducing expenses could strengthen the company’s ability to rival lower-priced offerings from AT&T Inc., T-Mobile US Inc., and cable-based wireless providers. The cost measures, they say, could help bolster earnings over time as Schulman works to reshape the telecom giant’s financial footing.
