Verizon Communications is cutting approximately 3,000 workers and closing hundreds of its retail stores. The company plans to divest 274 of its retail stores to franchise owners. Most of the layoffs will stem from this divestiture.

Following the divestment, Verizon will still own about 1,000 retail stores. Management has determined that a minimum of 1,000 corporate-owned stores are necessary for the company's long-term strategy over the next three years, as detailed in an internal memo.

While the majority of the 3,000 job cuts are associated with the retail store divestiture, the total also includes about 500 Verizon corporate employees, according to sources familiar with the situation.