{"id":318195,"date":"2026-08-10T23:30:08","date_gmt":"2026-08-10T23:30:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/318195\/"},"modified":"2026-08-10T23:30:08","modified_gmt":"2026-08-10T23:30:08","slug":"mamdani-takes-aim-at-amazon-subcontracting-model-in-multimillion-dollar-delivery-bill-fight","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/318195\/","title":{"rendered":"Mamdani takes aim at Amazon subcontracting model in multimillion-dollar delivery bill fight"},"content":{"rendered":"

Mayor Zohran Mamdani<\/a> publicly threw his support Monday behind legislation that aims to reshape New York City\u2019s last-mile delivery industry, escalating a fight with Amazon.<\/p>\n

The Delivery Protection Act<\/a>, sponsored by Queens Council Member Tiffany Cab\u00e1n, would require operators of certain last-mile warehouses and storage facilities to obtain licenses from the Department of Consumer and Worker Protection (DCWP) and comply with new safety, training and employment requirements.<\/p>\n

It would also require workers performing core warehouse and delivery services to be directly employed by the facility operator, generally barring third-party contracting for those services after a phase-in period.<\/p>\n

Per the bill, the direct-employment requirement would begin in the 12th month after enactment, with limited extensions for existing contracts, and require operators to first offer jobs to contract workers displaced by the change.<\/p>\n

\u201cCorporations like Amazon build billion-dollar business models by insulating themselves from accountability through a system of exploitative subcontracting,\u201d Mamdani said in a statement, arguing that the current system allows major companies to exercise control over delivery operations while avoiding responsibility for working conditions.<\/p>\n

His endorsement gives new political weight to a bill that already has 35 Council member sponsors but has remained laid over in the Committee on Consumer and Worker Protection since an April 9 hearing, where the Mamdani administration had already testified in support of the measure.<\/p>\n

Asked whether Council Speaker Julie Menin supports the legislation or intends to bring it to a vote, a Council spokesperson said only that \u201cIntroduction 518 received a hearing in April and is continuing to go through the legislative process for further input and engagement.\u201d<\/p>\n

The spokesperson did not address where Menin stands on the bill or whether she plans to move it.\n<\/p>\n

Cab\u00e1n, meanwhile, welcomed Mamdani\u2019s support, saying the bill is needed to rein in companies she accused of using subcontractors to evade responsibility.\n<\/p>\n

\u201cFor too long, companies like Amazon have operated in our city like it\u2019s the Wild West, ignoring workers\u2019 rights, putting our communities in danger, and acting with impunity,\u201d Cab\u00e1n said. \u201cIt\u2019s 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.\u201d<\/p>\n

She added that she looked forward to working with Mamdani and the Department of Consumer and Worker Protection \u201cto make this a reality.\u201d
\n\"aAn Amazon delivery worker delivering a package.File Photo via Getty Images\n<\/p>\n

Lobbying goes the last mile<\/p>\n

The legislation has become the subject of an expensive lobbying battle.<\/p>\n

State lobbying disclosures show Amazon made five contributions totaling $5,001,377<\/a> to the Five Boroughs Jobs Campaign between February and May. The contributions were first reported by New York Focus<\/a>, which documented Amazon\u2019s financial backing of the organized opposition to Intro. 518.<\/p>\n

The Five Boroughs Jobs Campaign, in turn, reported more than $5 million in lobbying expenses<\/a> during the first half of the year and listed Intro. 518 as a target of both direct and grassroots lobbying, including contacts with Council members and the Mayor\u2019s Office of Intergovernmental Affairs.<\/p>\n

New York Delivers, the coalition leading opposition to the bill, told amNewYork Monday that it is overseen by the Five Boroughs Jobs Campaign, which also coordinates its funding. The campaign commissioned the AKRF analysis<\/a> cited by opponents in warning that more than 10,000 jobs could be at risk, the coalition said.<\/p>\n

Amazon defended its contributions to the campaign to amNewYork.\n<\/p>\n

\u201cThis bill 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,\u201d an Amazon spokesperson said. \u201cWe think that\u2019s wrong, so we\u2019re proud to stand with our partners and oppose legislation that would hurt New York consumers, small businesses, and their employees.\u201d<\/p>\n

Amazon has separately warned that the measure could threaten more than 40 local Delivery Service Partners and the jobs of more than 5,000 people they employ, and could prompt the company to consider relocating delivery operations outside the city. In April testimony, Amazon said its delivery partners make their own decisions about hiring, fleet management, capacity planning and route assignments.<\/p>\n

Small delivery businesses echoed those concerns at a New York Delivers press conference in Harlem on Monday.\n<\/p>\n

\u201cAmazon is going to be fine. People like us are the ones who are going to pay the price,\u201d said Rudy Cazares of Cazar Logistics, arguing that contractors and their workers would bear the consequences of the legislation.<\/p>\n

Supporters say the current system has left workers and neighborhoods exposed to safety risks.\n<\/p>\n

A 2025 city comptroller\u2019s report<\/a> found that 78% of areas around last-mile facilities experienced increases in injury-causing crashes after facilities opened, with injuries within a half-mile rising by an average of 16%. It also identified more than 2,000 workplace injuries reported to the Occupational Safety and Health Administration at last-mile facilities between 2022 and 2024.<\/p>\n

Amazon disputed that analysis at the time, saying it relied on incomplete data and maintaining that safety is a priority for the company and its partners.\n<\/p>\n

Monday\u2019s endorsement is the latest clash between Mamdani\u2019s administration and Amazon. In May, the administration announced it had recovered more than $9 million in unpaid idling fines<\/a> tied to Amazon\u2019s delivery network. Last week, Amazon was also among 42 online retailers<\/a> the city sent cease-and-desist letters to over motorized two-wheelers it alleged exceeded legal e-bike and e-scooter limits, with Mamdani warning companies that failed to comply could face fines or legal action.<\/p>\n","protected":false},"excerpt":{"rendered":"Mayor Zohran Mamdani publicly threw his support Monday behind legislation that aims to reshape New York City\u2019s last-mile…\n","protected":false},"author":2,"featured_media":318196,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[9,11,10],"class_list":["post-318195","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york","tag-new-york","tag-new-york-headlines","tag-new-york-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/318195","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=318195"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/318195\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/318196"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=318195"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=318195"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=318195"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}