Amazon Delivery Bill Sparks Controversy Over Job Losses and Rising Costs
New York City Mayor Zohran Mamdani is backing a bill that would require Amazon and other delivery companies to directly employ thousands of drivers. The 'Delivery Protection Act' aims to crack down on exploitative subcontracting arrangements, which have left workers unprotected and streets less safe, according to the mayor.
The legislation, supported by the Teamsters union, seeks to bar companies from subcontracting core warehouse and delivery work at last-mile facilities. This would require those workers to be directly employed by the facility operator. The measure is described as 'common-sense regulation' that protects delivery workers.
Critics warn that the legislation could add an extra $664 a year to the cost of deliveries for New York households, driving up prices for consumers. Amazon has also warned that the bill could prompt it to relocate its delivery operations outside city limits altogether, potentially making deliveries both slower and more expensive for residents.
A small-business owner, Rudy Cazares, who runs an Amazon Delivery Service Partner, told the Post that the legislation would put him out of business entirely. He argued that his company hires its own staff and operates its own vehicles, with Amazon controlling package sorting and staging before his drivers pick them up for delivery.