Rumor Mill: Verizon layoffs at end of Q1
UPDATE: Verizon to axe more jobs
Despite a 15 percent increase in revenues in Q4, talk around the water coolers at Verizon has been on company plans to implement job cuts at the end of March. Details of how many jobs will be cut and what divisions will take the hits are unclear, but rank-and-file employees are convinced that downsizing is coming once again.
Verizon trimmed 2,700 management jobs on the wireline side at the end of Q3 2008. Further job cuts are likely to come from the landline division - Verizon Telecom - as consumer and business landline sales continue to decline. It may be too early for Verizon Wireless to make substantial personnel cuts derived from the purchase of Alltel, but economic conditions may force the issue.
Finally, it could be a jump ball decision if Verizon Business should make cuts. The division saw revenues drop by $124 million in Q4 2008 as compared to the same quarter last year, with state government spending expected to tighten up further in the months ahead. However, VB has been racking up federal government wins at a steady clip of late, so there may not be as much urgency to bring the axe down.