Debate picks up over Delivery Protection Act

Legislation that would require Amazon to directly hire “last-mile” delivery workers is emerging as the next contentious legislative fight in the New York City Council.

The National Urban League, the civil rights group, is coming out in opposition to the bill that would require companies like Amazon to directly employ “last-mile” delivery and warehouse workers – instead of continuing to rely on third-party contractors to make the final stretch of deliveries.

National Urban League President Marc Morial charged that the legislation known as the Delivery Protection Act would have sweeping unintended consequences, wiping out dozens of the independent businesses contracted by Amazon and other online delivery retailers and potentially costing the city thousands of jobs – primarily impacting Black and brown New Yorkers.

“People should separate Amazon from this and look at what you have, which is an ecosystem of dozens of Black businesses who have hired people to do this work that are building businesses and family wealth,” Morial told City & State. “This is a bad policy choice and the New York City Council should step back.”

The National Urban League’s website cites Amazon as one of its “diamond partners,” meaning the civil rights organization has received more than $1 million in donations from it. A spokesperson for the National Urban League did not immediately say how much Amazon has donated to the organization in total.

The legislation has a raft of supporters, including Mayor Zohran Mamdani, its sponsor, City Council Member Tiffany Cabán and 32 of her colleagues – well past a majority. It also has support from labor organizations including Teamsters Local 804, the New York City Central Labor Council and the New York City Democratic Socialists of America Labor Working Group.

Asked at an unrelated press conference Tuesday whether the legislation would lead to job loss, Mamdani said it would lead to better protections for workers.

“This is legislation that would not only make our streets safer, but would also protect the workers who create so much of the profits that a company like Amazon reports, not only across the city, across the country, but across the world,” he said.

Supporters like the mayor argue that the subcontracting system is rife with exploitation, allowing Amazon to dictate hiring standards, delivery routes and productivity quotes for delivery workers while denying that they are employees. The legislation would also require the operators of last-mile warehouses and storage facilities to obtain licenses from the Department of Consumer and Worker Protection, which would mean meeting certain safety, training and employment requirements. 

“We need to pass this legislation to keep workers and communities safe and to end this exploitative business model,” Cabán said in a statement, referencing injury rates among Amazon workers and increasing truck-related crashes near last-mile facilities. 

“I find that to be highly paternal,” Morial said of the argument that the current system exploits third-party workers. “You cannot make that judgement without talking to these business owners.” 

Amazon has threatened to close warehouses and move thousands of workers out of the city if the legislation is passed. Opposition to the bill has built steadily in recent weeks. Business groups, including the Taxpayers Protection Alliance and the American Consumer Institute, sent a letter to City Council Speaker Julie Menin warning of its potential impacts on businesses. 

While the City Council’s Committee on Consumer and Worker Protection held a hearing on the legislation in April, there’s been no movement since. A spokesperson for the speaker’s office said the City Council is continuing to meet with advocates on both sides of the issue as the bill moves through the legislative process. 

The mayor, Cabán and other allies plan to rally in support of the bill at City Hall Thursday.

Emily Wilson contributed reporting.