Amazon’s delivery network in New York City could face a major shake-up if a proposed law requiring direct employment of contracted drivers becomes legislation. The company has reportedly warned it could shut 15 delivery facilities across the city and move thousands of jobs elsewhere, while logistics analysts believe it may be prepared to follow through rather than change its operating model.
The dispute centres on the Delivery Protection Act, a measure backed by New York City Mayor Zohran Mamdani. It seeks to change how major delivery companies engage workers, including Amazon, by requiring the retail giant to employ more than 5,000 drivers directly instead of relying on independent delivery contractors.
Supporters argue that the proposal would improve pay and strengthen workplace safety protections across the delivery industry. However, the potential consequences extend beyond drivers: a withdrawal by Amazon could affect warehouse employees and dozens of small businesses that depend on its delivery network.