Amazon Air Crash Puts Spotlight on Contractor Model

An Amazon-branded Boeing 767 operated by 21 Air crashed after overshooting the runway at Miami International Airport on September 6, killing five people in a van. The incident has put the spotlight on Amazon’s use of contractors for its air cargo network. Amazon outsourced at least 208 flights that day to eight contractors, potentially shielding it from crash liability. The National Transportation Safety Board (NTSB) is investigating the cause of the crash, which may have been due to multiple contributing factors. Amazon’s use of contractors for its air cargo network is a common practice in the industry, with other major cargo carriers such as FedEx and UPS also using contract carriers for certain routes. Amazon’s arms-length relationship with 21 Air is a familiar playbook for the company, which has outsourced swathes of its logistics operation to independent companies. Contracting out the work helps Amazon get packages to customers quickly while offloading much of the liability of operating trucks and aircraft to someone else. Amazon and 21 Air have both offered condolences to the families and loved ones affected by the accident and pledged to cooperate with the investigation.