Kathmandu— New York City Council is considering the Delivery Protection Act, legislation that would require companies like Amazon to directly employ their delivery and warehouse workers, setting safety standards, and providing training—a move fiercely opposed by Amazon, which has spent over $5 million lobbying against it. The bill, backed by Mayor Zohran Mamdani and more than thirty council members, stems from concerns about worker exploitation and safety within Amazon’s Delivery Service Partner (DSP) model, where drivers are technically employed by smaller contracting companies. Latrice Johnson, a former Amazon delivery driver who testified before the City Council following her brother's death, exemplifies the precarious conditions faced by many; she found herself ineligible for grief counseling offered through Amazon because of her employment status. The debate extends beyond New York, as the outcome could set a precedent for worker classification and unionization efforts nationwide.

Worker Experiences Highlight Precarity

Latrice Johnson’s story illustrates the challenges faced by many delivery drivers working through Amazon's DSP network. Despite wearing Amazon uniforms and delivering packages in branded vans, she was not considered a direct employee, leaving her without access to benefits like grief counseling after a personal loss. This lack of direct employment also contributed to job insecurity; Johnson and over one hundred coworkers lost their jobs last year when Amazon terminated its contract with their DSP employer, an action the Teamsters union alleges was retaliation for organizing efforts.

The precariousness extends beyond immediate support during hardship. Drivers often face unsafe working conditions and a lack of consistent income protection, as they are not directly covered by standard labor protections afforded to direct employees.

The Delivery Protection Act’s Core Provisions

City Council Member Tiffany Cabán introduced the Delivery Protection Act (DPA) with the aim of addressing these issues. The legislation would mandate that delivery companies directly employ drivers and warehouse workers involved in core operations, establishing licensing requirements and safety standards for last-mile facilities. Mayor Zohran Mamdani voiced strong support for the bill, stating it 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 DPA seeks to hold Amazon accountable for conditions throughout its entire delivery chain, rather than allowing it to distance itself through subcontracting. Deputy Mayor Julie Su emphasized this point, describing Amazon's current model as “a business model built on getting all the benefits of labor while disclaiming any responsibility for it.”

Amazon’s Extensive Lobbying Campaign

In response to the proposed legislation, Amazon has launched a significant lobbying effort. Between February and mid-May, the company spent over $5 million through the Five Borough Jobs Campaign, a business coalition affiliated with the Real Estate Board of New York. This funding was used for television and social media advertising, as well as direct lobbying efforts, often featuring DSP owners and drivers who claim the bill would harm their businesses and jobs.

The campaign argues that the DPA could raise delivery costs by $664 per year for average New York households, a figure derived from a consulting firm paid by Five Borough Jobs. Amazon also threatens to relocate delivery facilities outside of New York City if the bill passes, though some experts question the feasibility of such a move given the importance of last-mile proximity to consumers.

National Implications and Unionization Efforts

The stakes extend far beyond New York City. Amazon’s DSP program is central to its global delivery operations, allowing the company to maintain a large workforce while avoiding direct employment responsibilities. This arrangement also hinders unionization efforts; by classifying drivers as employees of separate companies, Amazon can argue it has no obligation to bargain with them—a point currently being contested before the National Labor Relations Board (NLRB) by the Teamsters.

The outcome of the DPA could serve as a model for other jurisdictions seeking to address similar issues within the gig economy and hold large corporations accountable for worker welfare. Theodore Moore, executive director of ALIGN, believes this bill has the potential to reshape Amazon’s business practices nationwide.

Enforcement Challenges and Future Outlook

Despite Amazon's resources, the Mamdani administration remains committed to enforcing the legislation if passed. Deputy Mayor Su emphasized that New York City is not waiting for federal action on worker protections and will utilize its full authority to ensure compliance. The debate centers around fundamental questions of corporate responsibility and the rights of workers in a rapidly evolving delivery landscape.

The Teamsters, along with advocates like Johnson, are hopeful that direct employment will provide drivers with greater job security, safety protections, and access to benefits.

The Delivery Protection Act is currently under consideration by the New York City Council, with a vote expected in the coming weeks. The outcome of this legislation could have significant implications for Amazon’s delivery operations and worker rights both within New York City and across the country.

(With inputs from Jacobin)

Originally published on abcnews.com.np.