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Mamdani Backs Law to Force Direct Hiring at Last‑Mile Delivery Hubs

It gives the city power to license last‑mile facilities to end subcontracting and assert workplace and street‑safety rules.

Overview

  • Mayor Zohran Mamdani publicly endorsed the Teamsters‑backed Delivery Protection Act on Monday, signaling new administration support for ending subcontracting in last‑mile delivery.
  • The bill would require certain last‑mile warehouses to obtain licenses from the Department of Consumer and Worker Protection and, after a phased period, directly employ workers who perform core sorting and delivery tasks.
  • Amazon and delivery contractors say the measure could threaten more than 5,000 local Delivery Service Partner jobs and push operations out of the city while an AKRF analysis cited by opponents estimates about $664 in added annual delivery costs per household.
  • The proposal already has roughly a supermajority of City Council sponsors but remains laid over in committee as Council leaders seek further stakeholder input and face heavy lobbying tied to the Five Boroughs Jobs Campaign.
  • Supporters point to a 2025 Comptroller report linking last‑mile facilities to rising injury‑causing crashes and workplace injuries while small contractors warn the rule could close businesses and displace workers pending the bill’s final language and enforcement details.