Amazon warns 5,000 New York delivery drivers' jobs at risk if proposed labour law passes
Amazon says the proposed Delivery Protection Act could force it to close 15 last-mile delivery centres in New York City, putting jobs at risk.
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Amazon has warned that more than 5,000 delivery drivers could lose their jobs if a proposed new labour law in New York comes into force. The company has also said 15 delivery centres in the city would be shut. The impact could extend beyond delivery workers to the jobs of thousands of warehouse employees.
The proposed law is called the Delivery Protection Act. Under it, Amazon could be compelled to directly employ thousands of delivery drivers who currently work through third-party companies. The aim of the law is to improve working conditions and rights of delivery workers.
Amazon says the law could force it to make major changes to its delivery system. In response, the company could close its 15 last-mile delivery centres in the city. According to the company, if it has to change the way it operates, it could close some centres in New York and move its operations to other areas. The closures could put at risk the jobs of delivery drivers and about 2,000 warehouse employees.
Customers could also feel the impact. The company says that if the existing centres in the city are closed, deliveries could take longer and prices of goods could rise.
Whether the centres close will depend on whether the law is implemented.