Court Says Federal Law Preempts in Tossing New York Suit Over Amazon Worker Safety

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A New York state appeals court on Tuesday dismissed state Attorney General Letitia James’ lawsuit accusing Amazon.com Inc. of failing to adequately protect thousands of workers at two New York City facilities against COVID-19.

The Appellate Division in Manhattan said federal law preempted James’ claims that Amazon violated state labor law by retaliating against two employees, Christian Smalls and Derrick Palmer, who protested against working conditions.

It also said James’ effort to require Seattle-based Amazon, the second-largest U.S. private employer, to comply with state COVID-19 workplace guidelines was moot, because the state has withdrawn the guidance that she sought to enforce.

The attorney general’s office had no immediate comment. Amazon did not immediately respond to requests for comment.

James sued Amazon in February 2021 over the online retailer’s health and safety protocols for workers at its JFK8 fulfillment warehouse in Staten Island and DBK1 delivery center in Queens, both in New York City.

A state trial judge rejected Amazon’s bid to dismiss the case in October.

But the appeals court said protests against unsafe working conditions “relate to the workers’ participation in concerted activities for the purpose of … mutual aid or protection,” and were protected activity under the National Labor Relations Act.

The four-judge panel also said issuing a ruling could pose a “substantial risk of interference” with the National Labor Relations Board, which is considering essentially the same allegations of retaliation.

Amazon fired Smalls for allegedly violating a paid quarantine to lead a March 2020 protest, and gave Palmer a written warning for allegedly violating social distancing rules.

Smalls and Palmer later formed the Amazon Labor Union, which workers at the Staten Island warehouse voted by a roughly 5-4 margin to join, according to results released last month. Turnout was about 58%.

The vote was a major victory for U.S. organized labor, which has seen union membership rates fall by about half since the early 1980s, and viewed Amazon as a threat to workers because of its practices and reach across many industries.

The case is New York v Amazon.com et al, New York State Supreme Court, Appellate Division, 1st Department, No. 2021-03934.

(Reporting by Jonathan Stempel in New York; Additional reporting by Jeffrey Dastin in San Francisco; Editing by Chizu Nomiyama and Mark Potter)