Amazon Invests $1.9 Billion in Delivery Safety and Pay

Amazon has announced a $1.9 billion investment in its delivery service partner (DSP) program for the year 2027. The company aims to raise delivery associate (DA) pay to an average of nearly $24 per hour, as reported on Monday, September 21. Amazon's safety initiatives have already resulted in a 23% reduction in serious crashes, according to the announcement.

AI-powered tools such as Wellspring and Amazon's Smart Delivery Glasses are increasing delivery speed and accuracy. Amazon is also allocating $70 million over the next five years to community impact initiatives led by DSP owners.

The delivery-focused smart glasses, designed to enhance safety, allow DAs to scan packages, receive walking directions, capture proof of delivery, and receive pet alerts, all without using their phones. The technology provides a hands-free experience, reducing the need for workers to divide their attention between their phone, package, and surroundings. Use of the glasses is voluntary for both DSP owners and their teams of DAs.

Additional safety measures include new surround-view cameras that identify vehicles, cyclists, and pedestrians from all directions, alerting DAs to potential hazards. These cameras will be installed in 50% of Rivian electric delivery vehicles across Amazon's network by the end of the year. Amazon is also adding dynamic hazard alerts to the Amazon Delivery App, providing workers with real-time notifications about accidents, road closures, and construction on their route.

The app will automatically adjust route navigation during inclement weather or when hazards are detected, without requiring workers to take any action.

These safety upgrades come as Amazon expands its overall delivery network in an effort to compete with its main rival, Walmart. As previously reported, Amazon's Project Mercury plan aims to increase the company's same-day delivery hubs from 85 to over 1,000 by 2031, potentially expanding its same-day footprint by more than tenfold and positioning fast-delivery capacity within 10 miles of 80% of Prime members in the U.S.