Executives at Verizon are moving forward with a plan to issue pink slips to approximately 3,000 workers as part of a broader restructuring of its operations.
The job cuts are directly tied to an element of the plan that will also see more than 270 retail stores sold to independent franchisees, the Wall Street Journal reported based on an internal memo and statements from a company spokesperson.
Verizon intends to keep nearly 1,000 retail stores under corporate ownership, while allowing independent franchisees to operate, spin up or shut down other stores.
Approximately 2,500 job cuts will directly impact retail employees at corporate stores. Another 500 or so will involve corporate jobs that are being eliminated or consolidated, including some tied to Verizon’s non-retail operations.
Last November, Verizon said it was trimming its workforce by 15,000 positions as part of a reorganization plan aimed at cultivating a leaner, more-flexible operation. The company is expected to focus more on digital pipelines for its customer service — online chat, social media support and other platforms — while maintaining some brick-and-mortar stores for customers who prefer in-person support.
On the service side, Verizon is refreshing many of its consumer connectivity plans to meet the needs of customers who want a premium experience at a low price, and those who prefer service bundled with their home Internet plans. Last month, Verizon introduced a new $30 per month plan called Simplicity that offers unlimited access to its fastest wireless network, and another plan called Verizon One that bundles one unlimited wireless line with home Internet service for $70 per month.
Instead of offering multi-line discounts, Verizon now offers Simplicity and Verizon One customers the option to tack on additional unlimited wireless lines for $30 per line, per month.
Verizon also owns numerous prepaid wireless brands, including the low-cost offering Visible, Total by Verizon and Tracfone Mobile.
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