Verizon is throwing away what made it special, and customers are suffering
Verizon customers have begun noticing the effects of the new CEO's cost-saving measures.
Verizon's ongoing restructuring is already having a negative spillover effect on customers. A majority of those we polled reported being negatively impacted.
Verizon's new CEO, Dan Schulman, has decided to lay off 13,000 of the approximately 100,000 people it employs. The carrier is reportedly also converting 179 of its stores into franchises.
The downsizing, which will reduce labor expenses for nonunion employees by nearly 20 percent, is part of Schulman's broader strategy to reboot a Verizon grappling with customer losses.
While not all of the employees will be let go immediately, the biggest round of layoffs in the carrier's history is already in effect, and it has started impacting its operations.
We asked our readers if they had noticed any effects of the layoffs. Of the 990 who responded, 427 (43%) thought that customer service had deteriorated. 266 (27%) of our readers haven't noticed any change so far, while 297 (30%) think it's too soon to comment.
Even if the laid-off employees will stay on through the end of the year or until early next year, the morale at Verizon is reportedly collapsing. Predictably, those who have been laid off are no longer as enthused, and this is showing in their work. Those who survived the brutal layoffs are probably feeling down because of what their colleagues are going through.
This comes on top of existing customer complaints about Verizon's service that predate the layoff announcements. These customers may perceive customer service as even worse after the layoff announcement, even if the operational impact is minimal. Verizon had already begun embracing AI before Schulman took over, and the results haven't been encouraging, with some customers complaining they keep getting passed around by inept chatbots.
Schulman wants Verizon to be more efficient and agile and to pivot to a customer-first culture. He is a disruptor and has a track record of helping companies grow.
Considering that Verizon had already likely locked in its plans for the current quarter before Schulman was appointed CEO, it's too soon to comment on his performance. Customers aren't going to care about any of this, though.
Customer-facing operations should ideally be Schulman's first order of business as he orchestrates his vision in the background. Stellar customer service was the hallmark of Verizon's heyday. If this deteriorates further due to the layoffs, customers will be given another clear reason to switch.
Verizon isn't doing so well after reducing its workforce by 13%
Verizon's new CEO, Dan Schulman, has decided to lay off 13,000 of the approximately 100,000 people it employs. The carrier is reportedly also converting 179 of its stores into franchises.
While not all of the employees will be let go immediately, the biggest round of layoffs in the carrier's history is already in effect, and it has started impacting its operations.
Some key roles at retail locations, which were critical to the core operations, have been eliminated, impacting how stores are run. Some stores and customer service units are now understaffed, meaning there are fewer employees to serve customers. It doesn't help that third-party locations aren't equipped to handle customers and often redirect them to corporate stores, making the situation worse.
We asked our readers if they had noticed any effects of the layoffs. Of the 990 who responded, 427 (43%) thought that customer service had deteriorated. 266 (27%) of our readers haven't noticed any change so far, while 297 (30%) think it's too soon to comment.
We have a tremendous amount of opportunity to be more efficient, to be scrappier. Cost reductions will be a way of life for us here.
Dan Schulman, Verizon CEO, November 2025
Survey shows majority unhappy with customer experience
Even if the laid-off employees will stay on through the end of the year or until early next year, the morale at Verizon is reportedly collapsing. Predictably, those who have been laid off are no longer as enthused, and this is showing in their work. Those who survived the brutal layoffs are probably feeling down because of what their colleagues are going through.
This comes on top of existing customer complaints about Verizon's service that predate the layoff announcements. These customers may perceive customer service as even worse after the layoff announcement, even if the operational impact is minimal. Verizon had already begun embracing AI before Schulman took over, and the results haven't been encouraging, with some customers complaining they keep getting passed around by inept chatbots.
What's Schulman's game plan?
Considering that Verizon had already likely locked in its plans for the current quarter before Schulman was appointed CEO, it's too soon to comment on his performance. Customers aren't going to care about any of this, though.
Customer-facing operations should ideally be Schulman's first order of business as he orchestrates his vision in the background. Stellar customer service was the hallmark of Verizon's heyday. If this deteriorates further due to the layoffs, customers will be given another clear reason to switch.
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