New Jersey Sues Amazon Over Alleged Wage Suppression in Delivery Network

New Jersey Attorney General Jennifer Davenport has filed a federal antitrust lawsuit against Amazon, alleging that the company uses its dominance over its delivery contractor network to suppress driver wages and prevent workers from organizing.

The complaint centers on Amazon's Delivery Service Partner program, which was launched in 2018 and relies on thousands of small contracted companies to handle last-mile package delivery. Davenport accuses Amazon of holding a 'monopsony' over the market for delivery driver services, dictating employment terms and stifling wage competition across the network.

The lawsuit also alleges that Amazon has moved to suppress organizing efforts by ending or threatening to end contracts with DSPs whose employees sought to unionize. Davenport is seeking treble damages, a court order barring the alleged anticompetitive practices, and preliminary injunctive relief to prevent Amazon from terminating additional delivery contractors during the litigation.