Verizon to Close Call Centers Across Five States, Cut Thousands of Employees
The company is consolidating its call centers as it grapples with increasing wireless competition
In a move labeled "corporate abuse" by the governor of New York, Verizon is planning to close call centers in five states, which will cut about 3,200 jobs.
The company stated that the consolidation of call centers will impact employees near Rochester and New York City in the its home state of New York. Additionally, locations in Bangor, ME, Lincoln, NE, Wallingford and Meriden, CT and Rancho Cordova, CA.
The two locations in New York will see a loss of 850 jobs, including 600 in Henrietta, outside of Rochester. One thousand jobs are being relocated in California: 700 in customer care and 300 in telesales. Nebraska will lose 320; Maine, 200; and Connecticut, 550. In Huntsville, Alabama, 175 jobs at a customer service center are being relocated to Hanover, Maryland.
Verizon has a total of 162,000 employees in the U.S.
According to Kim Ancin, a spokeswoman for the company, affected workers were informed on Wednesday, and all are being offered jobs at other locations or, if they decide not to relocate, severance packages.
The move is "an egregious example of corporate abuse," said Rich Azzopardi, a spokesman for New York Governor Andrew Cuomo. "Verizon's negligence is astounding and as a result, hard-working New Yorkers will lose their jobs."
Ancin called this reaction "out of line," stating, "I'm not sure what abuses he's referring to. These are jobs that are staying within the U.S. "
The announcement of the closures occurred mere days after Verizon confirmed that it is cutting jobs in stores around the country as it grapples with growing competition within the wireless industry.
It said that it would be combining the roles of two store positions—inventory stockers and customer-service specialists—into one.
Growth of revenue has slowed in the wireless industry. The majority of adults now has a smartphone, and carriers offer discounts. Verizon's wireless revenue fell almost three percent in the first half of 2016 to $44 billion, and additions of the most lucrative type of wireless subscriber fell 26 percent.