Breaking News | New Jersey Alleges Amazon Runs Labor Monopsony Over Delivery Network

New Jersey Attorney General Jennifer Davenport filed federal antitrust claims alleging Amazon maintains a monopsony (buyer-side monopoly) over delivery driver labor through its Delivery Service Partner network. The complaint alleges Amazon suppresses wages by controlling route allocation, performance metrics, and driver mobility - contractors cannot hire one another's drivers - resulting in pay below comparable positions at UPS, FedEx, and USPS. The state also alleges Amazon uses AI and in-vehicle cameras to enforce delivery quotas and retaliates against unionization efforts, including terminating a DSP contract in Queens after organizing activity. New Jersey seeks treble damages for lost driver compensation, injunctive relief to halt alleged practices, and a preliminary order preventing Amazon from terminating additional DSPs during litigation. This is the first state-filed monopsony case in the US and New Jersey's fourth active lawsuit against Amazon.

• Pre-trial motions on whether monopsony theory applies to DSP network structure - outcome sets precedent for similar state actions

• Discovery phase regarding internal communications on wage-setting and union response - could surface evidence of coordination across DSP network

• Copycat filings from other states with large Amazon delivery networks - California, New York, and Texas are logical next movers if New Jersey survives motion to dismiss