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Verizon Announces 10,400 Employees Will Voluntarily Leave the Company (techcrunch.com)
Verizon today announced that 10,400 employees -- about 7 percent of its worldwide workforce -- are taking buyouts to leave the company. "This is part of an effort to trim the telecom giant's workforce ahead of its push toward 5G," reports TechCrunch. From the report: Verizon put this offer on the table in September with a goal to save $10 billion in cash by 2021. The offer, which included 60 weeks of salary bonus and benefits depending on length of service, applied to 44,000 employees across Verizon's business. "For those who were accepted, the coming weeks and months will be a transition. For the entire V Team, there will be opportunities to work differently as we prepare for the great things to come at Verizon," CEO Hans Vestberg said in a note to employees, CNBC reports.
#MAGA
I have not heard yet that T-Mobile or AT&T need to generate the money required for 5G deployment by reducing payroll expenses. So, where will the other wireless telecoms get the cash?
In a time of universal deceit, telling the truth is a revolutionary act. George Orwell
I remember reading something about this...The Dead Sea Effect maybe? From what I've seen, anyone who's able to find other work or doesn't really need the job takes the buyout. Then the company gets stuck with the people who stay behind, who are not going to find anything equal to or better than what they have, or are just so institutionalized that they can't go anywhere else. Then morale goes in the toilet, more people are laid off, and productivity gets worse each subsequent round.
(And yes, employee institutionalization is a thing. For those of you young enough to not have experienced it, companies used to hang onto employees forever, train them, and heavily invest in them so that it's a big loss if they leave. Huge employers like IBM, GE, AT&T, etc. basically had a completely internal labor market/talent pool because there was a belief in promoting from within. Former IBMers I've worked with tell me that the pay and opportunities used to be good enough that people wouldn't leave. Big contrast with today's 3-month contracts.)