These major changes being executed by Verizon's new CEO, Dan Schulman, are way overdue at the obscenely bloated and underperforming telecom behemoth. Relentless price increases, undifferentiated products & services, absolutely horrible customer service and sheer corporate arrogance has driven many customers away at a time that competition has intensified in the mature telecommunications industry. Speaking as a customer it's about time this rotten and miserable company gets shaken up! Best of luck to all my career compadres going thru this period of upheaval at Verizon. P.s., Knowing Dan Schulman personally, I told you this was coming!
Verizon's Layoff Plan Exposes Growing Divide Between Investors and Employees
Verizon's New CEO Sees the Need to Implement Aggressive Changes Including Job Cuts
14 November 2025, 2:29 PM GMT
New Verizon CEO to intensify cost transformation and expense base restructuring, including job layoffs.
Verizon's sweeping cost-cutting plans are triggering sharply different reactions from the two groups whose futures hinge on the company's next moves. Investors see the restructuring as a long-awaited correction—one that could streamline operations, protect dividends, and lift a stock that has lagged behind competitors for years. But inside the company, employees describe a climate of mounting fear and uncertainty as reports of mass layoffs circulate with little internal guidance from leadership.
This widening gap between Wall Street optimism and workforce anxiety has become the defining feature of CEO Dan Schulman's early tenure. As the company prepares for what could be the largest layoff in its history, workers say they are bracing for a painful transformation, while shareholders look on with cautious approval. The result is a company moving in two emotional directions at once: confidence at the top, and unease on the ground.
A Gloomy Christmas for 20K Employees
Christmas 2025 will be different for an American telecom giant and gloomy for its employees. News reports say Verizon Communications will implement a massive workforce reduction of up to 20,000 as soon as next week. Also, up to 200 stores will be converted into franchises to be operated by independent owners.
Verizon is downsizing, and the twin news regarding job layoffs and new business direction are the initial moves of Dan Schulman as Verizon's CEO. The former PayPal chief assumed the post on 6 October 2025.
On his first day as CEO, Schulman already laid out his priorities. 'We are going to maximize our value propositions, reduce our cost to serve, and optimize our capital allocation to delight our customers and deliver sustainable long-term growth for our shareholders,' he said.
Aggressive Transformation
During the Q3 2025 earnings presentation in late October, Shulman shared his vision on how Verizon will return to growth.
'We are going to take bold and fiscally responsible action to redefine Verizon's trajectory at this critical inflection point for our company. We will rapidly shift to a customer-first culture —one that thrives on delighting our customers,' Schulman said.
'These will not be incremental changes. We will aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders,' he added. His predecessor, Hans Vestberg, was network-first focused.
Financial Highlights
In the three months ended 30 September 2025, total operating increased 1.5% to $33.8 billion compared to Q3 2024, while net income climbed 48.2% year-over-year to $5 billion. On a year-to-date basis, the bottom line increased 18.1% to $15.2 billion from a year ago. After nine months, free cash flow reached $15.8 billion, up 9% year-over-year.
Total broadband connections rose 11.1% to more than 13.2 million versus the same quarter last year, including 306,000 broadband net additions. The partnership formed with Tillman Global Holdings' Eaton Fiberlast October will expand Verizon's broadband offering.
Schuman notes that, for the past few years, Verizon has relied too heavily on price increases for financial growth. He believes that over-reliance on price without subscriber growth isn't sustainable. He vows to discontinue the strategy.
Instead, the customer-first culture will simultaneously drive a much more efficient cost structure that fully supports incremental investments. Customers will delight in this without the decline in margins.
'My top strategic imperative for Verizon is to grow our customer base profitably across our mobility and broadband subscription businesses.' Schuman said.
No market success
Schulman acknowledged that Verizon's stock performance has been disappointing for shareholders. The share price stands at $41.11, up less than 10% year-to-date, with a three-year total return of 31.35%.
Despite this, Verizon, with a market capitalization of $172 billion, has increased its dividend for 19 consecutive years. Current shareholders benefit from a 6.71% dividend yield following the September hike.
Largest Layoff Ever
Verizon has yet to confirm the shocking news about the impending job layoffs. If true, 15% of the total workforce will be out of the company payroll. Remember, Schulman emphasized at the onset that aggressive change is needed through cost transformation and a restructuring of the expense base.
https://www.ibtimes.co.uk/verizons-layoff-plan-exposes-growing-divide-between-investors-employees-1754943