Mayor Mamdani Backs Bill to Regulate Amazon’s Subcontracted Delivery Network

New York City Mayor Zohran Mamdani has endorsed the Delivery Protection Act, introduced by City Council Member Tiffany Cabán. The bill would require operators of “last-mile” warehouses to obtain licenses from the Department of Consumer and Worker Protection and to meet new safety, training, and employment standards. A key provision phases in a direct-employment requirement for core warehouse and delivery tasks twelve months after enactment, with limited extensions for existing contracts. The mayor’s endorsement adds weight to a measure that already has 35 council sponsors but has remained in the Committee on Consumer and Worker Protection since an April 9 hearing.

AM New York

Amazon’s delivery model relies on subcontractors that run “last-mile” facilities while Amazon controls hiring, routing, vehicle branding, and uniforms. Since 2020, at least 11 such facilities have opened across the city. Critics say this structure shields Amazon from municipal labor regulations, allowing it to avoid minimum-pay and benefit requirements that apply to its competitors. The city’s push for oversight follows a broader effort to address safety concerns linked to the rapid expansion of these facilities.

Common Dreams

• Amazon’s annual revenue exceeds $3 trillion.

Common Dreams

• A Harvard-Kennedy-School survey found Amazon drivers earn an average $19 per hour, compared with $35 at UPS and $25 at FedEx.

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• A 2025 city comptroller report linked the opening of last-mile facilities to a 78 % increase in injury-causing crashes within a half-mile radius and an average 16 % rise citywide; it also recorded over 2,000 OSHA-reported workplace injuries at these sites between 2022 and 2024.

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• Amazon contributed $5,001,377 to the Five Boroughs Jobs Campaign between February and May, which spent more than $5 million on lobbying against the bill.

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Mayor Mamdani argued that Amazon’s subcontracting “insulates” the company from accountability and that the bill would protect workers and neighborhoods. Council Member Cabán described the current system as “the Wild West” that endangers communities. Labor leader Brendan Griffith, president of the New York City Central Labor Council, said the legislation would establish stronger safety and employment protections and urged swift passage.

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Amazon’s spokesperson countered that the bill would threaten “local small businesses” and “more than 5,000” delivery-partner jobs, potentially prompting the company to relocate operations. The company also disputed the city’s injury data, claiming it relies on incomplete information.

AM New York

Opponents, including the Five Boroughs Jobs Campaign and small-business owners such as Rudy Cazares of Cazar Logistics, argue that the bill would raise costs for consumers and jeopardize jobs. Amazon’s lobbying reflects its broader strategy to protect the subcontracting model it says sustains a network of independent delivery partners.

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Delivery driver Luc Rene (Queens) told *The New York Times* that Amazon directs package volume and refused to reduce his workload during extreme heat, despite his subcontractor’s request. Workers featured in a video released by the mayor’s office described a surge in injuries and accidents linked to the current model.

Common Dreams

The city cites a study linking facilities to increased crashes and injuries, while Amazon claims the analysis uses incomplete data. No independent third-party audit of either claim has been presented.

AM New York

The Delivery Protection Act remains under committee review. If passed, licensing and direct-employment requirements would take effect after a twelve-month transition period, with operators required to offer displaced contract workers new positions. The City Council’s next steps—whether to schedule a floor vote or amend the bill—will determine the timeline for implementation.

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