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New Jersey Sues Amazon over Labor Practices

On Tuesday, New Jersey Attorney General Jennifer Davenport sued Amazon, alleging the retailer exerts "monopsony" power over independent delivery contractors to suppress competition and wages.
Since 2018, Amazon has operated its Delivery Service Partner program, relying on thousands of small companies; the state alleges these contractors are "economically dependent on Amazon" and lack independence.
The complaint alleges Amazon "unlawfully maintains its dominant power" by restricting DSPs from hiring one another's drivers and preventing unionization, causing employees to "endure harsher working conditions than they should."
Amazon spokesperson Steve Kelly rejected the allegations as "not grounded in fact," maintaining that DSPs are independent business owners who manage their own hiring and operational decisions.
This litigation adds to Amazon's ongoing antitrust challenges, as the company faces separate lawsuits from the Federal Trade Commission and California over alleged illegal monopolization of online retail markets.

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New Jersey Targets Amazon’s Delivery Model in Federal Antitrust Lawsuit

New Jersey has brought a federal antitrust lawsuit against Amazon, accusing the online retail giant of using its dominant market position to suppress wages and impose poor working conditions on delivery drivers. In a complaint filed Tuesday in the U.S. District Court for the District of New Jersey, Attorney General Jennifer Davenport alleges that Amazon holds “monopsony power” over companies participating in its Delivery Service Partner program …

2 days ago·New York, United States

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