Zohran Mamdani, the Nyc Mayor, voiced support earlier this month for the Delivery Protection Act, a proposed New York City bill that would force last-mile delivery operators to directly employ core workers instead of relying on contractors. The measure now sits with the Committee on Consumer and Worker Protection, where it would have to move before any wider change in hiring rules can take effect.
Delivery Protection Act details
The bill would apply to operators of last-mile warehouse and distribution facilities in New York City. It would require direct employment for core delivery and warehouse workers, add a two-year grace period for compliance, and create a licensing system for storage and distribution facilities. It would also set new safety, training and labor standards.
Those standards include training on when and where to make delivery stops along trafficked roads and how to protect pedestrian safety during frequent stops. That goes beyond a simple labor rule; it would tie workforce status to operating conditions and to how deliveries are routed through the city.
AKRF June report
A June report from AKRF for the Five Borough Jobs Campaign said converting contracted drivers to employees would increase labor and operating costs for companies like Amazon. The report said companies would likely move a large portion of distribution activity to facilities outside New York City and into nearby areas like New Jersey.
The same proposal would reach last-mile models used by Amazon, FedEx, OnTrac and Gofo, along with Delivery Service Partners. For those operators, the question is not just who signs the paycheck. It is whether facilities, routing and warehouse staffing would have to be reorganized to match the bill's direct-hire requirement before the grace period runs out.
Shawn Compton interview
Shawn Compton, chief logistics officer at DCL Logistics, said in an interview with Supply Chain Dive: "This could have a much farther-reaching impact because nobody's expecting it to stay just in New York City if it passes." The International Brotherhood of Teamsters supports the Delivery Protection Act.
In April, testimony on the bill was submitted to the city’s Committee on Consumer and Worker Protection, setting up the next legislative step. The immediate issue is whether the committee advances a measure that would change delivery labor rules in New York City and give operators two years to adjust before compliance starts.
