Amazon's NYC Delivery Model Faces Regulatory Threat

City Council Member Zohran Mamdani has introduced legislation aimed at regulating Amazon's delivery practices in New York City. The bill, sponsored by Tiffany Cabán, would require Amazon to directly employ last-mile warehouse and delivery workers, effectively ending its Delivery Service Partner model within the city.

Amazon contracts with local delivery businesses, which hire their own workers as regular employees, not gig workers. If passed, this bill could wipe out these businesses, affecting over 5,000 New Yorkers employed by Amazon's partner companies.

However, critics argue that the proposed legislation is hypocritical. Mayor Mamdani's administration has been known to use outside companies for tasks such as homeless services and trucking, employing their own workers in a similar manner to Amazon's delivery contractors.