Amazon today announced two new value-added services to empower Delivery Service Partners (DSPs) to offer best-in-class benefits for their drivers. A new academic program, Next Mile, provides drivers employed by participating DSPs with up to $5,250 per year to access more than 1,700 academic programs, including bachelor's and associate degrees, skill certifications, and high school completion courses. Amazon also announced the addition of a 401(k) plan to the suite of services available to DSPs and is providing DSPs an estimated $60 million over the first year to help these small business owners match employee contributions. Amazon continues its commitment to providing access to the tools and resources small businesses need to build thriving teams, while helping drivers reach their career aspirations. These new benefits from leading providers and additional rate increases for DSPs to offer competitive pay to their drivers total a more than $450 million investment over the next year.
"Through the DSP program, small businesses around the world have generated over $26 billion in revenue for their companies since launching four years ago," said Parisa Sadrzadeh, vice president of Amazon's Worldwide Delivery Service Partner Program. "We couldn’t have done that without DSPs and their incredible teams. We will continue to innovate with them and use our economies of scale and resources to help them provide best-in-class offerings to their employees. Investing in our DSPs means that we are continuing to invest in communities nationwide. I can't wait to see the future success stories of what these drivers achieve."
"As a small business owner, being able to offer my team these industry-leading benefits and services is amazing," said Nicole Kelso, an Amazon DSP and owner of Rainforest Routes. "Providing additional training paths and empowering my team to pursue their dreams will help them achieve success within my organization and elsewhere. Investing in their future helps my business provide an even more compelling employment experience."
More than 70% of DSP drivers expressed that retirement savings is a critical benefit, which is why Amazon will now offer a 401(k) program to U.S. based DSPs and support owners in matching contributions for drivers. Amazon will provide DSPs an estimated $60 million in the first year to help offset the costs for DSPs that match employee contributions to their teams' retirement savings and reimburse 100% of the administrative costs through a leading provider of retirement savings benefits.
Amazon’s DSP program has been successful because of its long-term partnerships with DSP owners. These new programs from leading providers are a direct result of feedback from DSPs and drivers. Today, Amazon works with more than 3,500 DSPs around the world that employ more than 275,000 drivers, who safely deliver more than 10 million customer packages every day. DSPs and their teams support Amazon deliveries worldwide in over 15 countries, including France, Italy, Ireland, Brazil, the Netherlands, India, Belgium, Austria, Luxembourg, and Saudi Arabia.
Amazon has invested over $7 billion worldwide over the past four years in safety technology, driver training programs, increases the rates it pays DSPs, and program improvements so drivers can safely and seamlessly deliver for customers. Amazon will continue to invest in its partnership with DSPs to support them in building and retaining great teams and succeed as business owners.