Verizon’s cost-cutting continued this week as the nation’s largest mobile network operator announced plans to close seven call centers in five states, affecting roughly 3,200 positions.
The company is reportedly shuttering call centers in Rochester, New York, and New York City as well as Bangor, Maine; Lincoln, Nebraska; Wallingford and Meridan, Connecticut; and Racho Cordoba, California. A Verizon spokesperson said the carrier is looking to “realign (its) real estate portfolio” and consolidate its over-the-phone sales and business customer support efforts, maximizing existing office space.
“This was a very difficult but necessary business decision,” the spokesperson told FierceWireless via email. “We value our Customer Service employees. They are highly trained, skilled and experienced and they will be encouraged to stay with the company.”
Employees will reportedly be offered jobs in Florida, Texas or South Carolina, and Verizon will pay travel expenses up to $500 and give two paid days off for them to visit the other cities. The carrier also offered to pay $10,000 or more in relocation costs, and employees who opt not to move will receive severance packages.
Verizon last week slashed an undisclosed number of jobs as it restructured its retail operations, rolling current positions of “experience specialist” and “operations specialist” into a single role and eliminating the existing positions.
The ongoing cost-cutting underscores a U.S. wireless market that has grown increasingly competitive as smartphone penetration reaches saturation. A year ago Verizon cut an undisclosed number of management positions as it consolidated its regional offices, reducing the number of its 20 offices down to six.
The operator emphasized its focus on trimming expenditures in April when it posted its first-quarter financial results.
"We remain focused on cost reduction throughout the entire business and are making progress in increasing efficiencies, reducing overhead costs, and streamlining support," Verizon CFO Fran Shammo said at the time. "In the fourth quarter of 2015 we restructured our wireless organization to improve our ability to address the changing needs of our customers fasters and more efficiently…. Overall consolidated headcount since the end of 2015 is down approximately 3 percent as we continue to increase the opportunity of our operations."
- read this Sacramento Business Journal report
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