Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Verizon to cut 13,000 jobs

By Blake Ellis, contributing writer


NEW YORK (CNNMoney.com) -- After posting a fourth-quarter loss, Verizon Communications, Inc. said Tuesday it plans to cut about 13,000 jobs this year.

Verizon recorded a net loss of $653 million, or 23 cents per share, compared with a profit of $1.24 billion, or 43 cents a share, a year earlier.

The loss came after the company took a charge of $3 billion for cutting a total of 17,000 jobs last year in both its landline and wireless divisions. Analysts polled by Thomson Reuters had forecast earnings of 54 cents per share.

Total sales rose to $27.1 billion, up from $24.6 billion in the same quarter last year, but below analyst estimates of $27.3 billion. The company's fixed-line revenue plunged 3.9% to $11.5 billion from $11.9 billion last year.

Verizon (VZ, Fortune 500) CEO Ivan Seidenberg said on the company's quarterly earnings call Tuesday that it will slash about 13,000 positions in 2010. The telecom giant previously cut 13,000 jobs from its landline business in 2008 and another 13,000 again in 2009.

Verizon's total headcount at the end of 2009 was nearly 223,000, with 117,000 employees in the fixed-line business.

The layoffs will not be specific to any geographic area, said Bob Varettoni, a Verizon spokesman.

"We have reduced headcount in many ways: by reducing the number of contractors we use, by offering enhanced incentive separation packages, attrition, and other means," said Varettoni. "Any layoffs were kept to a minimum because of these measures."

Separately, Home Depot (HD, Fortune 500) also announced Tuesday that it plans to cut jobs. CEO Frank Blake said in a memo to Home Depot employees the company will eliminate 1,000 jobs nationwide.

"We are a strong company, and we are taking the necessary actions to make us even stronger as our business builds momentum," said Blake. To top of page

Index Last Change % Change
Dow 21,750.73 -274.14 -1.24%
Nasdaq 6,221.91 -123.20 -1.94%
S&P 500 2,430.01 -38.10 -1.54%
Treasuries 2.20 -0.03 -1.21%
Data as of 7:38pm ET
Company Price Change % Change
Bank of America Corp... 23.64 -0.55 -2.27%
Cisco Systems Inc 31.04 -1.30 -4.02%
Advanced Micro Devic... 12.34 -0.29 -2.30%
KeyCorp 17.79 -0.19 -1.06%
Chesapeake Energy Co... 3.88 -0.12 -3.00%
Data as of 4:15pm ET
Sponsors

Sections

The Congressional Budget Office narrows its projection for when Treasury will run short on money if Congress doesn't raise or suspend the country's debt ceiling. More

It's tempting to take a chunk of cash just sitting there and put it to work in the market. But it's risky. There are better ways to get some return on your money. More