New York City Council Likely to Pass Delivery Protection Act Aimed at Amazon's Delivery Model, After Changes
New York City is moving toward a law that, as first written, could have pushed Amazon to take over the local companies that deliver its packages. Now the final version is expected to look different.
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The bill
The Delivery Protection Act has the backing of Mayor Zohran Mamdani, and the City Council will likely pass some version of it before the end of 2026, FreightWaves reports. Council member Tiffany Caban is the bill's sponsor.
In New York City, about 100 independently owned delivery service providers deliver Amazon packages and employ the drivers under contracts with Amazon.
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As introduced in February, the bill would require a "last mile facility operator" to be licensed by the city and would ban third-party subcontracting. FreightWaves reported that, if passed as written, the law would effectively require Amazon to buy its city delivery companies, and those workers would become Amazon employees.
Changes expected
At a rally Thursday on the steps of City Hall, held in a driving rain with lightning and thunder overhead, the growing consensus was that the final law will not be the bill as currently written, FreightWaves reported. The rally was sponsored by New York Delivers, a coalition that includes Amazon.
"I think we are at a point where the City Council clearly wants to move something," said Jessica Walker, president and CEO of the Manhattan Chamber of Commerce. The Teamsters union has organized rallies backing the bill.
Opponents, including all five of the city's borough chambers of commerce, argue the delivery companies are locally owned small businesses. City Council Speaker Julie Menin will be another key player in what passes, FreightWaves reported.
FreightWaves reported that all sides expect lawsuits once a bill passes, and that backers may seek a compromise to limit that.
Beyond New York
A similar proposal is being pushed in Chicago, according to FreightWaves. Big Rig Daily has also reported on Amazon's rising shipping costs.
A question for readers
Should the company whose name is on the box be the one that employs the person delivering it?
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Sources
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