Amazon Faces NYC Delivery Bill Threat: Direct Employment or Relocation

New York City's proposed Delivery Protection Act has sparked controversy over its impact on workers' rights and consumer costs. The bill, backed by Mayor Zohran Mamdani, requires companies like Amazon to directly employ workers performing core delivery and warehouse services.

This would eliminate subcontracted labor through Delivery Service Partners (DSPs), which Amazon currently uses for over 40 DSPs with more than 5,000 workers. The company opposes the bill, citing increased costs that could raise consumer prices if enacted.

Amazon's opposition has threatened to relocate operations, but the outcome will impact not only workers' rights and small businesses but also consumer costs in one of the largest e-commerce markets in the U.S. If passed, the bill could redefine last-mile delivery and gig-worker policies nationwide.