Verizon to sell 274 stores, cut 500 corporate jobs in restructuring

Source: Reuters By: David Shepardson

U.S. wireless carrier Verizon announced on Thursday that it will sell 274 company-owned retail locations and eliminate approximately 500 corporate positions as part of an ongoing restructuring effort.

The changes will affect roughly 3,000 retail and corporate employees. Following the sale, effective August 16, Verizon will own 1,000 stores. The company had already eliminated several hundred jobs in May, following a November announcement that it would cut more than 13,000 roles—its largest single round of layoffs.

Verizon noted that in previous store sales, about 70% of retail employees took jobs with the new operators. Six large operators currently manage the majority of Verizon's franchised locations.

In a message to employees, Verizon stated it is working with franchise owners who operate 5,000 outlets "to elevate the experience in every one of their locations because we know how important they are to our overall customer experience."

As part of its broader restructuring, Verizon sold 179 corporate-owned retail stores to franchise operators in November and closed one additional location.

Dan Schulman, a Verizon board member since 2018, was named CEO in October. Verizon competes with AT&T and T-Mobile in the saturated U.S. telecom market, where providers have extended device subsidies, introduced plan discounts, and increased network infrastructure spending.

Last month, Verizon said it aims to attract customers by offering simpler plans, eliminating activation and upgrade fees, and launching a new loyalty program with discounts and perks.

In May, Verizon, AT&T, and T-Mobile agreed to form a joint venture to address coverage gaps—particularly in rural areas—using satellite-based technologies. Analysts suggest the venture may be a defensive move, as some have raised concerns that SpaceX's Starlink could eventually compete more directly with U.S. wireless carriers.