NYC Council Debates Amazon DSP Ban, Eyes Possible Compromise

Key Details New York City Council held a marathon hearing Thursday on the Delivery Protection Act, which would ban Amazon's use of independent delivery service providers (DSPs) and force the company to hire drivers directly. The proposed legislation drew protests outside City Hall and hours of testimony inside, with supporters and opponents staking out competing visions for the city's last-mile delivery network. Why It Matters Amazon's entire local delivery model in NYC relies on DSPs, small independent companies that employ drivers under contract. If the bill passes, these businesses would shut down and Amazon would absorb their operations. The stakes are enormous for workers, business owners, and the company itself, which dominates e-commerce delivery in the nation's largest city. Path Forward The bill currently has just over 30 co-sponsors in the 51-member Council, down from 40+ in its previous iteration. A midday panel featuring borough chamber leaders signaled movement toward possible compromise language. Key provisions include licensing requirements for delivery companies and strengthened labor standards that could force Amazon's hand on driver treatment and worker protections. Next Steps With negotiations ongoing, the Council appears unlikely to pass the original draconian version. Industry observers expect a revised bill that preserves some independent contracting while imposing stricter oversight of working conditions and company practices.