American multinational mass media corporation, AOL Inc., now owned by telecommunications provider, Verizon Communications Inc. (NYSE: VZ), laid off a hundred of its employees, mostly in its dial-up business due to overlaps with Verizon’s existing division, after almost seven months into its acquisition by parent company Verizon for $4.4 billion. The cuts were confirmed by Reuters with Caroline Campbell, Verizon’s AOL SVP of Brand and Communications, who claims that the company is aligning the organization for the same level of growth in 2016.
“The market changes and we at AOL change ahead of the market,” said Caroline Campbell in a written report. “As we have continued to do over the last six years, we have re-aligned a handful of key customer functions to put our consumers and customers more squarely at the center. We have done 3 years of deals in the last 6 months. We are aligning the organization for the same level of growth in 2016.”
According to Fortune, there are as many as two-thirds of the cuts that is in Verizon AOL’s membership division, which specifically handles legacy business: Primarily its well-known dial-up service, but also AOL Mail and AOL Instant Messenger (AIM). According to the report, some employees within marketing and social media roles have also been affected, but the majority of the dismissals emphasizes on the “operations layer”. The layoffs are just under 2 percent of Verizon AOL’s workforce of 6,000 staffs.