NYC Council Member Deflects Job Loss Warnings Over Amazon Delivery Bill

City Council member Tiffany Cabán has dismissed warnings that her proposed legislation could lead to the loss of thousands of jobs in New York City, calling the concerns "bull" and a tactic by Amazon. Experts had previously cautioned that Cabán's Delivery Protection Act could prompt Amazon to close more than a dozen warehouses and displace upward of 5,000 workers.

Cabán, a progressive lawmaker, stated that such warnings are typical of corporate lobbying efforts. "I mean, this is the kind of thing that they threaten all the time," she told The Post. "I call bull, and you know, it’s part of their tactics overall. They’ve spent over $13 million at this point to spread misinformation," she claimed regarding the company's lobbying efforts.

The Delivery Protection Act aims to regulate safety training and operations for delivery companies, but crucially, it would prohibit them from utilizing third-party contractors or gig workers for deliveries. This effectively mandates that companies like Amazon and UPS hire their third-party delivery drivers as direct employees. Companies found non-compliant face penalties of $500,000, payable to the Department of Consumer and Worker Protection.

Amazon has stated that Cabán has not accepted their requests to tour their facilities or meet with their third-party delivery drivers. A spokesperson for the company asserted that the bill would "directly undermine that commitment by threatening the more than 40 local small businesses we partner with to deliver to Amazon customers and the jobs of the more than 5,000 people they employ." The company also warned that the legislation could compel them to "seriously examine how we could still meet our commitment to New Yorkers—which includes the potential for relocating operations and delivery facilities outside of New York City."

The bill, which has the support of 35 council members and Mayor Zohran Mamdani, is heading for a vote. Mayor Mamdani has also downplayed the potential negative impacts, stating, "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... across the world." When pressed on whether the bill could lead to job losses, he responded, "I think that this is something that will lead to better protections for workers."

However, Sam Levine, Commissioner of the city's Department of Consumer and Worker Protection, acknowledged in August that some job losses might occur, but suggested that the bill's one-year implementation period would provide an opportunity to help affected workers find new employment. The legislation carries significant weight, with Amazon noting in testimony that it would impact over 40 local small businesses and their employees.