{"id":1544210,"date":"2024-10-28T07:37:48","date_gmt":"2024-10-28T11:37:48","guid":{"rendered":"https:\/\/www.practicalecommerce.com\/?p=1544210"},"modified":"2024-10-28T07:37:48","modified_gmt":"2024-10-28T11:37:48","slug":"teamsters-target-amazon-delivery-drivers","status":"publish","type":"post","link":"https:\/\/www.practicalecommerce.com\/teamsters-target-amazon-delivery-drivers","title":{"rendered":"Teamsters Target Amazon Delivery Drivers"},"content":{"rendered":"

They drive large trucks emblazoned with “Amazon” and wear Amazon uniforms. But are they Amazon employees?<\/p>\n

That’s the question central to a dispute over the International Brotherhood of Teamsters’ attempts to organize the drivers who deliver Amazon packages in California, Illinois, and New York.<\/p>\n

Last year, 84 Amazon delivery drivers from Palmdale, California, became the first U.S. group to join the Teamsters. Since then, drivers in Skokie, Illinois, the New York City borough of Queens, and Victorville, California, have done the same.<\/p>\n

But here’s the thing: Amazon doesn’t sign the drivers’ paychecks. They work for Amazon’s massive Delivery Service Partner (DSP) network. The DSPs are independent companies started under an Amazon program<\/a> that allows aspiring business owners to set up shop for as little as $10,000. The DSPs employ drivers who operate the DSPs’ trucks, which are generally leased through third-party companies Amazon approves.<\/p>\n

Because of that, Amazon says DSP drivers are not its employees. The union alleges that Amazon is a co-employer of the drivers and accuses the ecommerce behemoth of using its DSP program to dodge responsibility. So far, regional National Labor Relations Board officials have sided with the Teamsters. NLRB’s Region 31 issued a complaint against Amazon dated September 30.<\/p>\n

However, the situation is far from settled, as the issue remains pending through the NLRB process and the courts. An NLRB administrative law judge set a hearing on the regional complaint for March 25, 2025.<\/p>\n

\"Delivery

Most Amazon delivery drivers work for independent companies within its Delivery Service Partner network.<\/p><\/div>\n

Bad for Amazon Sellers?<\/h3>\n

Should the union be victorious, Amazon would almost certainly pass along increased costs by raising fees<\/a> it charges platform sellers, says Phil Masiello, CEO of CrunchGrowth Revenue Acceleration Agency and a longtime Amazon seller and founder of multiple ecommerce companies. But, he added, Amazon won’t easily give in.<\/p>\n

“The long and short of it is you can look at what happened in New York and other areas. Amazon will absolutely fight it,” Masiello says.<\/p>\n

Teamsters Position<\/h3>\n

A Teamsters spokesperson did not respond to requests for comment. However, in news releases, the union accuses Amazon of using the DSP structure to evade its obligations while “exercising total control over the wages, workplace conditions, and safety standards of the drivers.”<\/p>\n

In a release issued on October 2, Sean M. O’Brien, Teamsters general president, said the NLRB complaint “brings us one step closer to getting Amazon workers the pay, working conditions, and contracts they deserve. Amazon has no choice but to meet us at the negotiating table.”<\/p>\n

The union and its allies have applied political pressure on Amazon.<\/p>\n

On October 18, 133 U.S. House of Representatives members, led by the Congressional Labor Caucus, issued a letter asking Amazon CEO Andy Jassy to provide information about “unlawful violations of the National Labor Relations Act.”<\/p>\n

“We are deeply troubled by ongoing reports that Amazon may be unlawfully coercing, intimidating, and retaliating against workers involved in union organizing activity,” the letter said.<\/p>\n

The letter then asks Jassy to respond to six questions related to union organizing efforts by direct Amazon workers and those employed by DSP operators.<\/p>\n

\n

<\/div> Recommended<\/h3>\n \n
\n
\n \"New\n <\/div>\n
\n
\n Listen to \"Ecommerce Conversations,\" our weekly podcast featuring entrepreneurs, innovators, and more. <\/div>\n

New episodes every Friday<\/h4>\n <\/div>\n <\/div>\n <\/a>\n <\/div>\n \n

What Amazon Says<\/h3>\n

In an email to Practical Ecommerce, Amazon spokesperson Eileen Hards said the NLRB complaint “makes clear that the Teamsters have been misrepresenting the facts here for over 15 months, which is why the NLRB has not included most of their larger allegations.”<\/p>\n

“As we’ve said all along, there is no merit to any of their claims. We look forward to showing that, as the legal process continues, and expect the few remaining allegations will be dismissed as well,” Hards said, adding that Amazon is not inherently opposed to unionization.<\/p>\n

“Our employees have the choice of whether or not to join a union. They always have,” she said in the email. “We favor opportunities for each person to be respected and valued as an individual and to have their unique voice heard by working directly with our team. The fact is, Amazon already offers what many unions are requesting: competitive pay, health benefits on day one, and opportunities for career growth. We look forward to working directly with our team to continue making Amazon a great place to work.”<\/p>\n

Amazon says its DSP network consists of 4,400 business owners who employ 390,000 drivers and generate a combined $58 billion in revenue \u2014 roughly the same as Delta Airlines’ fiscal 2023 operating revenue.<\/p>\n

Amazon’s turbulent relationship with the Teamsters goes beyond organizing efforts by DSP drivers. In 2022, Amazon workers at the JFK8 Fulfillment Center on Staten Island, New York, formed the Amazon Labor Union (ALU). The ALU affiliated with the Teamsters earlier this year, becoming the ALU-IBT.<\/p>\n

Founded in 1903, the Teamsters represent 1.3 million people in the U.S., Canada, and Puerto Rico.<\/p>\n","protected":false},"excerpt":{"rendered":"

Does Amazon control the drivers that work for its Delivery Service Partners? That’s the question central to a dispute.<\/p>\n","protected":false},"author":2449,"featured_media":1544260,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_wp_rev_ctl_limit":""},"categories":[13096],"tags":[],"class_list":["post-1544210","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-shipping-fulfillment",""],"acf":[],"yoast_head":"\nTeamsters Target Amazon Delivery Drivers - Practical Ecommerce<\/title>\n<meta name=\"description\" content=\"Does Amazon control the drivers that work for its Delivery Service Partners? 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