Verizon, AT&T Cut 8,000 Jobs as Costs Climb
Operators that depend on telecom vendors should expect shifting staffing and contract demand as the two largest carriers trim payrolls.
Updated on Nov. 2, 2026 in Employment
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Verizon cut more than 4,000 jobs in the third quarter of 2026, while rival AT&T shed about 3,700 positions over July through September. Together the two carriers eliminated roughly 8,000 jobs, with consequences for the wider U.S. telecom labor market.
Why it matters
Both carriers are reducing headcount while their operating costs keep rising, which suggests cost control and productivity gains are driving the cuts rather than falling demand alone. For operators in telecom-adjacent services and contract labor, the signal is that major carriers are consolidating staff, which can shift vendor demand and the pool of experienced technicians available in the market.
Verizon's headcount fell from 97,600 in June 2026 to just over 93,000 in September 2026, and the company had almost 10,000 fewer staff in December 2025 than a year earlier. Verizon's operating costs were $25.7 billion in Q3 2026, up from about $24 billion five years ago, while AT&T's operating costs were $28.2 billion in the same quarter.
The players
Verizon
A major U.S. wireless and broadband carrier whose scale and network investment make workforce cost a central lever for margins.
AT&T
A major U.S. telecommunications carrier with a large wireless and fiber footprint, competing directly with Verizon on cost and service.
The details
Verizon reduced headcount through workforce reductions across the period, while AT&T reduced its headcount in the July-September window. Verizon's revenue per employee was $970,500 in 2020 and exceeded half a million dollars in 2025 per the reported figures. Rising operating costs alongside shrinking payrolls point to a model in which fewer people are expected to support the same network and customer base.
Timeline
December 2024: baseline headcount before Verizon's reduction period.
December 2025: Verizon had almost 10,000 fewer employees than in December 2024.
June 2026: Verizon's employee count stood at 97,600.
July-September 2026: AT&T cut about 3,700 jobs and Verizon cut over 4,000.
September 2026: Verizon's employee count fell to just over 93,000.
Market Landscape
The two largest carriers have together cut more than 142,000 jobs since 2020, a sustained reduction rather than a one-time adjustment. The Q3 2026 layoffs of roughly 8,000 continue that trajectory while both companies' operating costs keep climbing.
Operators whose businesses depend on telecom vendors or contract technicians should watch for reduced staffing at the large carriers and any resulting change in service-provider demand. Teams reviewing outsourced telecom support should confirm current vendor capacity with their own accountants or counsel before adjusting contracts.
The takeaway
The operating lesson is that large carriers are pairing headcount reductions with rising operating costs, so labor efficiency is becoming a core competitive tool. Operators should track the next quarterly filings from both companies for any further workforce or cost-line changes that could affect vendor and staffing demand.
Further reading
For context on how labor markets are shifting across the economy, explore our Employment coverage.
Source note: This article includes information reported by Phone Arena.
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