New York City Mayor Zohran Mamdani backed a proposed legislation that would require major delivery companies to directly use in-house warehouse and delivery workers instead of relying on third-party contractors.
The Delivery Protection Act, introduced by City Council Member Tiffany Cabán, seeks to increase oversight of large delivery operations and strengthen workers’ protection. While the legislation would hold corporations accountable for working conditions, many argue that it could disrupt deliveries across the city.
Mamdani announced his support for the legislation on Aug. 10 and said, “The Delivery Protection Act is commonsense regulation that protects delivery workers, safeguards the communities where these facilities operate and ensures that the corporations benefiting from workers’ labor are responsible for the consequences of their business practices.”
The proposed legislation would allow major corporations to control the work schedules, routes and workloads of drivers. Furthermore, direct employment would also hold the companies more accountable for workplace safety and labor protections.
“For too long, companies like Amazon have operated in our city like it’s the Wild West, ignoring workers’ rights, putting our communities in danger, and acting with impunity,” Cabán said.
“It’s time to pass my bill, the Delivery Protection Act to keep workers and our streets safe and to end the charade of huge corporations hiding behind third-party contractors to evade accountability,” she continued.
Currently, Amazon relies on Delivery Service Partners, which are independent businesses that hire drivers to deliver packages. Although drivers may wear Amazon-branded uniforms and use branded vehicles, they remain third-party contractors without access to the rights and privileges afforded to full employees.
This current model allows Amazon to have a wide delivery network while saving money on employee benefit costs.
Mamdani has argued that the current delivery environment leaves workers in unstable employment conditions. He said, “New Yorkers should not be forced to subsidize corporate profits with less safe streets and more precarious jobs. The people who make these companies run deserve dignity, stability and a safe workplace. It’s time to end the subcontracting model that puts profits over people and build an economy that works for working New Yorkers.”
The proposal has drawn harsh reactions from Amazon and other delivery companies. According to the New York Post, businesses have argued that it could harm smaller delivery businesses and raise consumer costs. Amazon has also threatened to shut down over a dozen warehouses and move thousands of jobs out of New York City if the legislation is passed.
An Amazon spokesperson said the legislation “would threaten many of the local small businesses that we work with to deliver packages across New York City, eliminating jobs while raising costs for New Yorkers who count on the service that these businesses provide.”
In addition to the Delivery Protection Act, City Council members also considered other delivery safety measures. A hearing was held on Sept. 30 to discuss the safety of e-bikes. The proposed legislation would require licensing for delivery services and eliminate Class III e-bikes that can travel at speeds exceeding 25 miles per hour.
The Delivery Protection Act remains under consideration by the City Council, with no vote scheduled yet. If passed into legislation, it could reshape the operations of delivery companies and the lives of the workers that they employ.
