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Teamsters Accuse Amazon, Subcontractors of Illegal Mass Layoffs in New York

The Teamsters union has filed a complaint against Amazon and 13 of its New York-area delivery subcontractors, alleging they violated state law by failing to provide drivers with advance notice before large-scale layoffs and facility closures.

The complaint, filed Tuesday with the New York State Department of Labor, argues that the companies failed to comply with the state’s WARN Act, which generally requires employers with 50 or more full-time workers to provide at least 90 days’ notice before mass layoffs or major business closures.

According to the union, more than 1,300 delivery workers were affected by closures between September 2023 and October 2025. The Teamsters estimate that the workers could collectively be entitled to as much as $11 million in back pay and benefits.

Workers say layoffs came without warning

The complaint includes the case of Latrice Johnson, a former delivery driver who worked for Amazon contractor Cornucopia Logistics.

Johnson said she was unexpectedly laid off in August 2025 after working for the company for about two years. She learned about the shutdown through messages from coworkers while she was at home on her day off.

A formal notice arrived several days later. State records reportedly listed August 20, 2025, as the facility’s closure date, while the notice itself was dated August 26.

Johnson described the experience as devastating, saying she had expected to return to work and earn her next paycheck.

Amazon rejects responsibility

Amazon spokesperson Steve Kelly dismissed the Teamsters’ allegations and emphasized that the affected drivers were not directly employed by Amazon.

According to Amazon, its delivery contractors—known as Delivery Service Partners (DSPs)—are independent businesses responsible for their own hiring, staffing, fleet operations and decisions about whether to continue operating.

Amazon said those contractors are also responsible for complying with applicable WARN laws. The company added that it asks DSPs to notify Amazon when they are shutting down so the company can help connect affected drivers with other contractors that may be hiring.

The subcontractors named in the complaint did not immediately respond to requests for comment.

What New York’s WARN law requires

New York generally requires covered employers to give workers and the state Department of Labor 90 days’ notice before certain mass layoffs or business closures.

Companies that fail to provide the required notice can face obligations to compensate affected employees for lost wages and benefits, along with possible civil penalties.

The Teamsters are asking state and city agencies to investigate the alleged violations and take enforcement action where warranted.

Dispute comes as NYC debates Amazon’s delivery model

The complaint arrives amid a broader political fight over Amazon’s use of delivery subcontractors in New York City.

More than 40 DSPs operate Amazon’s delivery network in New York, employing drivers who typically operate Amazon-branded vehicles and wear Amazon-branded uniforms while remaining employees of the subcontractors.

Critics argue that the arrangement allows Amazon to distance itself from responsibility for workplace disputes, wages, accidents and collective bargaining.

The Teamsters are also backing legislation in the New York City Council that would require Amazon to directly employ many of the delivery workers currently hired through DSPs.

The proposed Delivery Protection Act, introduced by Queens Councilmember Tiffany Cabán, has gained support from Mayor Zohran Mamdani and dozens of council members. However, it has not yet received a full council vote.

Amazon and business groups strongly oppose the legislation, arguing that it could hurt small delivery companies and put thousands of jobs at risk. Amazon representatives have even warned that the company could reconsider its operations in New York if the measure becomes law.

The Teamsters’ latest complaint adds another layer to the dispute, putting the employment practices of Amazon and its delivery network under increased scrutiny.

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