Amazon is the latest mega-company to be sued over discrimination allegations as the giant faces accusations of “secretly excluding” multiple Black neighborhoods in Washington, D.C. from its Prime high-speed delivery, while still charging customers a full subscription price.
On Wednesday (December 4), Washington, D.C.’s Attorney General Brian Schwalb filed a lawsuit in the District of Columbia Superior Court against Amazon, accusing them of covertly depriving residents in certain ZIP codes from using its high-speed delivery option, Prime.
AG Schwalb alleges that, since 2022, Amazon has “secretly excluded” two Black neighborhoods in “historically underserved” ZIP codes in Washington, D.C. from accessing Prime’s high-speed delivery, while still charging customers for the full subscription price. Currently, an Amazon Prime membership costs $139 annually, or $14.99 per month, and it includes benefits like “free” same-day, one-day, or two-day shipping, full access to content on its streaming platform, and other upgrades and perks.
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The lawsuit alleges that in mid-2022, the Seattle-based online retailer imposed a delivery “exclusion” on two low-income ZIP codes in the District of Columba (D.C.): 20019 and 20020, which the lawsuit states is comprised of nearly 50,000 Prime members (almost half the population of the region). The lawsuit claims that instead of Amazon using its own high-speed delivery systems to deliver more than 4.5 million packages in the past four years to the area, the company began relying solely on third-party delivery services like UPS (United Parcel Service) and USPS (United States Postal Service).
However, Amazon claims it made the change based on driver safety concerns. Countering the District of Columbia AG’s claims, Amazon spokesperson Steve Kelly fired back and called them “categorically false,” arguing that its business practices are not “discriminatory nor deceptive.” Amazon’s spokesperson also offered to work with the Washington, D.C. AG’s office on efforts “to reduce crime and improve safety in these areas.”
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Kelly explained, “We want to be able to deliver as fast as we possibly can to every zip code across the country, however, at the same time we must put the safety of delivery drivers first. In the zip codes in question, there have been specific and targeted acts against drivers delivering Amazon packages. We made the deliberate choice to adjust our operations, including delivery routes and times, for the sole reason of protecting the safety of drivers.”
Speaking on why he sued Amazon over its alleged lack of Prime services to Black neighborhoods, Washington, D.C.’s Attorney General Brian Schwalb said, “Amazon is charging tens of thousands of hard-working Ward 7 and 8 residents for an expedited delivery service it promises but does not provide. While Amazon has every right to make operational changes, it cannot covertly decide that a dollar in one zip code is worth less than a dollar in another.”
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