In a decisive move for workers' rights, San Francisco's City Attorney David Chiu and City Administrator Carmen Chu have announced a substantial settlement amounting to $2.2 million in favor of last-mile delivery drivers in San Francisco. The settlement comes on the heels of an investigation by the Office of Labor Standards Enforcement (OLSE) into Amazon Delivery Service Partners' compliance with the city's Health Care Security Ordinance (HCSO), discovering that 15 DSPs had failed to meet the required healthcare spending for their employees, as reported by the San Francisco City Attorney's Office.
"Health care costs can easily become a matter of life or death for low-wage workers," City Attorney Chiu stated, recognizing the gravity of the situation for those at the economic margins. The ensuing settlement agreements direct the DSPs to distribute $2.2 million in damages and penalties. Nearly 1,000 affected workers have started receiving checks since April 20, 2025, and this financial reparation marks a stride toward a more equitable industry, which has exploded in growth recently and is now fully compliant with San Francisco's healthcare stipulations for employees working over 8 hours each week, per the City Attorney's Office.
OLSE's dedication to enforcing labor standards is highlighted by City Administrator Carmen Chu, who praised the team for their role in safeguarding the well-being of workers and, in turn, nurturing thriving communities. Patrick Mulligan, Director of OLSE, acknowledged the importance of healthcare access, especially in a post-pandemic landscape, applauding his team's efforts in protecting Amazon DSP drivers' benefits.
The settlement, which pieces together the full $2.2 million from $1,926,361 in damages and $273,091 in penalties, is the result of rigorous effort by the City Attorney’s Worker Protection Team, holding the DSPs to account for non-compliance of San Francisco's HCSO, the ordinance ensures that employers with more than 20 workers meet minimum healthcare spending regulations for each qualifying employee. To date, the OLSE has recovered $180 million for workers, aiming to create a balance of compliance and improved standards for workers and employers alike, the principles of which are now cemented in every DSP operating within the San Francisco area.
The Worker Protection Team, established in 2022 under City Attorney Chiu, features Ian Eliasoph, Hank Giorgi, Matthew Goldberg, Maureen Slack, and Lauren Tantriella.
