Economy · Amazon · ArchiveNew Jersey Sues Amazon Over Driver Pay — Company Now Largest US Delivery ProviderAired August 5, 2026 at 6:45 PM UTCWritten September 7, 2026 at 9:22 PM UTCRead the write-upThis storyTranscript · LOADING0:00New Jersey has filed a lawsuit against0:02Amazon alleging the company illegally0:04drives down pay and working conditions0:05for thousands of delivery drivers while0:07actively suppressing any effort to0:09unionize. [music] Amazon recently0:11surpassed the US Postal Service to0:12become the largest delivery provider in0:14the United States, a scale that makes0:16this lawsuit a direct [music] challenge0:18to the model that built that dominance.0:20Most New Jersey drivers wearing Amazon0:21vests and operating Amazon branded vans0:24do not actually work for Amazon. They0:26are employed by small contractors called0:28delivery service partners. The lawsuit0:30claims those partners are entirely0:32dependent on Amazon to survive, and0:34Amazon uses that dependency to control0:36every key aspect of their operations,0:38routes, [music] hiring, pay. And when0:40workers try to organize, the lawsuit0:42alleges Amazon crushes those attempts.0:44>> [music]0:50>> Another official said the office is0:52standing up [music] for thousands of0:53delivery drivers who are being exploited0:55every day by one of the world's biggest,0:57richest corporations. The state says0:59Amazon drivers earn substantially less1:01[music] than their counterparts at the1:02Postal Service, UPS, and FedEx, the very1:05competitors Amazon has now eclipsed. The1:07lawsuit [music] pits the state against1:08the retail giant, but the legal fight1:10could redefine the relationship between1:12Amazon and the thousands of drivers who1:14wear its logo while remaining contractor1:16employees. Amazon calls the allegations1:18baseless. The company says its delivery1:20partners are independent business owners1:22who make their own decisions on hiring,1:24fleet management, and capacity planning,1:26and are free to work with other1:27companies. Amazon also says New Jersey1:29authorities chose a press conference1:31over a conversation, and that it is1:32confident it will win in court. The1:34unresolved question now before the1:35courts, whether this state lawsuit can1:38pierce the contractor shield that has1:39fueled Amazon's rise, and whether1:41thousands of New Jersey drivers who wear1:43the Amazon logo will be legally1:45recognized as something closer to Amazon1:46employees with the pay and organizing1:48rights that would follow.Explore with HeyDexThe shortThe short ↗