Verizon, one of the largest mobile phone operators in the United States, announced on Thursday (11/20) that it will undertake mass layoffs in the coming weeks, amid a restructuring process at the company.
According to the company, about 13,000 jobs will be eliminated in what should be the largest round of layoffs in Verizon’s history. Amid financial difficulties, Verizon is trying to cut costs and restructure its operations.
Also according to Verizon, 179 company-owned retail stores are expected to be converted into franchise operations in the coming months. Franchising is a business model through which a company grants an investor the right to use its brand to operate the business. In return, the franchisor pays fees and must follow operational standards set by the franchisor.
There is also an expectation that some Verizon units will close.
Read also
-
a job
Nvidia’s CEO earned R$34 billion in one day after profits rose
-
a job
General relief: Nvidia achieves $1 billion profit and reduces fear of an AI bubble
-
a job
Meta, the owner of Facebook, has decided to lay off 600 employees in its artificial intelligence unit
-
game
Microsoft is laying off nearly 10,000 employees in its gaming divisions
What does Verizon say?
In a statement sent to employees, Verizon CEO Dan Schulman, who took over in October, said the operator’s goal is to “significantly” reduce expenses with outsourced labor.
“Our current cost structure limits our ability to invest in the value proposition for our customers. We need to streamline our processes to deal with the complexity and friction that slows us down and frustrates our customers,” Schulman wrote in a document obtained by Reuters.
Although the company has not yet provided details on how the layoffs will take place, the trend is for most of the cuts to occur in Verizon units in the USA.
According to the company, the decision to lay off workers en masse is not related to progress in the use of artificial intelligence.
At the end of last year, Verizon had about 100,000 employees in the United States. In the past three years, the company has cut nearly 20,000 jobs.
Verizon is a multinational communications company that provides voice, data, and video services to consumers and businesses, including fixed and mobile telephony, Internet, security, and entertainment. In addition, the company is also involved in the development of 5G technology.
About The Author
