So the subcontractor is "avoiding regulations" (which are what btw?) by being a "subcontractor" and NYC can do nothing about the "subcontractors" but get rid of "subcontractors"?
The subcontractors can just fold as well, leaving drivers in the lurch.
However, Amazon gets to dictate everything else about the job. The subcontractors have no authority or autonomy, but are made responsible for the heavier costs of the process.
Amazon wants to have an employer-relationship when it comes to dictating terms, but a contractor-relationship when it comes time to giving benefits or resolving disputes.