Verizon Communications Inc (NYSE:VZ, XETRA:BAC) confirmed on Thursday that it plans to lay off more than 13,000 employees, roughly 13% of its workforce, as part of a broad cost-cutting and restructuring initiative under new CEO Dan Schulman.
The reductions, the largest in Verizon’s history, aim to simplify operations, reduce internal complexity, and strengthen the company’s focus on customer experience.
The announcement follows media reports and speculation last week about potential job cuts, fueled by Verizon’s declining postpaid subscriber numbers. The company recently lost 7,000 postpaid customers while competitors continued to gain ground, raising questions about its operational efficiency and growth strategy.
Schulman, who became CEO in October 2025, said the layoffs are necessary to “reorient our entire company around delivering for and delighting our customers” and to create a “faster, stronger, and more proactive Verizon.”
In a letter to employees, he wrote that the company must simplify operations “to address the complexity and friction that slow us down and frustrate our customers.”
The reductions will affect every part of the company and include significant cuts to outsourced and external labor, as well as the franchising of roughly 180 to 200 stores. US employees began receiving notifications on Thursday, with international notifications to follow.
Verizon’s workforce stood at nearly 100,000 full-time employees at the end of 2024. A company spokesperson confirmed that roughly 20% of the management workforce, which is non-unionized, is included in the layoffs.
To support those impacted, Verizon is establishing a $20 million Reskilling and Career Transition Fund focused on digital training, skill development, and job placement. Schulman noted that the fund is designed to help employees prepare for opportunities in the evolving technology landscape, including the AI era.
“Change is necessary, but it can be difficult—especially when it affects valued teammates,” he wrote. “The actions we’re taking are designed to make us faster and more focused, positioning our company to deliver for our customers while continuing to capture new growth opportunities.”
Verizon shares traded at $41 on Thursday, up 3% so far in 2025.