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Why You Paid $29.99 for Those Levi's, Not $25.47: Amazon Price-Fixing Scheme Exposed
Evidence released by California's attorney general shows "blatant price-fixing" by the retail giant, said one consumer advocate.
Apr 21, 2026
California's top law enforcement official on Monday released a legal filing packed with evidence that Amazon is leveraging its dominance of the online retail market to artificially drive up prices for a range of goods, fueling a nationwide affordability crisis while padding its profits.
The filing was first submitted to the San Francisco Superior Court in February as part of California Attorney General Rob Bonta's broader legal effort to halt what he described as Amazon's "illegal price-fixing scheme." At the time, the filing was heavily redacted, obscuring specific examples of Amazon conspiring with vendors and competing retailers to drive up prices for apparel, pet treats, fertilizer, and other items. California's case against Amazon is set to go to trial next year.
“The evidence we've uncovered is clear as day: Amazon is working to make your life more unaffordable," Bonta said in a statement. "The company is price-fixing, colluding with vendors and other retailers to raise costs for Americans beyond what the market requires—beyond what is fair."
"Amid a crisis of affordability," Bonta added, "Amazon is illegally working to rake in profits by making sure consumers have nowhere else to turn to for lower prices. We’ll see them in court."
The filing identifies three specific tactics Amazon uses to fix prices—"breaking the price match," "increasing the competitor retail price," and "removing the product"—and offers concrete examples, backed by email evidence, of the company deploying each method.
In one instance from 2021, Amazon alerted Levi’s that Walmart.com had some of the clothing company's pants listed at a price of $25.47-$26.99—which Amazon indicated was too low for its liking. At Amazon's request, Levi's connected with Walmart, which agreed to price one of the identified products at $29.99. Amazon then matched that higher price for Levi's Easy Khaki Classic fit on its platform, locking in the cost increase for online shoppers.
"This should make your blood boil. Amazon is using its market power to coerce major retailers to hike prices," said Lee Hepner, senior counsel at the American Economic Liberties Project. "It is pouring kerosene on an affordability crisis. Forcing price hikes to preserve market share is illegal monopoly maintenance, clear as day."
Bonta's filing also details a case in which Amazon, the vendor GlobalOne, and the pet supplies company Chewy agreed to fix prices on more than 10 pet treat products.
As Bonta's office summarized:
The plan was written in an email between Amazon and its vendor, GlobalOne. For its part, Amazon would raise GlobalOne’s Canine Naturals pet treat prices to get Chewy to follow, then GlobalOne would “reach out to Chewy” to let them know that Amazon was increasing the pricing and “would ask that [Chewy] follow.” In other words, if Chewy agreed, Amazon would increase its retail pricing for the Canine Naturals pet treats and Chewy would match the price increase. The plan materialized. Amazon told GlobalOne that the pricematch override was in place, and to “let Chewy know to update [pricing] immediately.” That same day, GlobalOne confirmed the “ones that went up on Amazon immediately went up on Chewy [happy face emoji] … Overall this looks like it’s working!” The result of Amazon, Chewy and GlobalOne’s price fixing agreement was to increase the retail prices of over ten Canine Naturals pet treat products on Amazon and Chewy.
"The examples above are not outliers and are not exhaustive," Bonta's office stressed in a statement. "They are illustrative of countless interactions—spanning years and product lines—in which Amazon, vendors, and Amazon’s competitors agree to increase and fix the prices of products on other retail websites. As Amazon told one vendor explicitly: 'I am very determined to help you hunt the disrupters in the market.'"
Amazon has been coordinating with vendors and major retailers — including Target, Walmart, Chewy, and Home Depot — to raise prices across the market.
This is a widespread scheme spanning years across markets — and it’s illegal.
We’re fighting to stop it. pic.twitter.com/p77N6P0kV3
— Rob Bonta (@AGRobBonta) April 20, 2026
Stacy Mitchell, co-director of the Institute for Local Self-Reliance, said Bonta's filing shows "blatant price-fixing" by Amazon that is "almost certainly the tip of a much bigger price-fixing operation."
In a piece published at Washington Monthly on the same day that Bonta's largely unredacted filing was released, Mitchell highlighted a Biden-era federal complaint accusing Amazon of using "sophisticated AI-driven pricing systems that draw on torrents of real-time data" to raise prices. (That case, backed by 17 states, is set to go to trial next March.)
"Here’s how it allegedly worked: Amazon’s anti-discounting algorithm immediately matched competitors’ price changes to the penny, but never undercut them," Mitchell wrote. "When a rival offered a discount, Amazon’s algorithm matched it; when rivals raised prices, Amazon’s algorithm followed. This denied competing retailers a crucial tactic for luring customers from Amazon. If other retailers could never offer lower prices, Amazon’s roughly 200 million paying subscribers had little reason to shop elsewhere."
"These allegations point to a novel form of monopoly power: The ability of a dominant platform to use algorithms to lift prices across an entire market," Mitchell added.
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Trump Labor Official Who Used to Represent Amazon Is About to Give the Company a Huge Gift
Crystal Carey, general counsel at the National Labor Relations Board, represented Amazon during her time at one of the biggest management-side law firms in the country.
Apr 13, 2026
National Labor Relations Board General Counsel Crystal Carey proposed a settlement on Sunday that would unwind a major case against the e-commerce behemoth Amazon—a company that Carey represented when she worked in the private sector for corporate clients.
Carey, whom President Donald Trump nominated after firing the Biden-era NLRB general counsel last year, sent her proposed settlement terms to the judge overseeing the labor agency's case against Amazon, which originated in the final year of the Biden administration. According to Bloomberg, Carey proposed that Amazon provide two weeks' worth of pay to dozens of drivers who were previously employed by Battle-Tested Strategies (BTS), formerly one of Amazon's delivery service partners (DSPs).
Amazon, in turn, would not be required to admit to unfair labor practices or be "found liable as a joint employer." The Biden-era NLRB argued that Amazon was a joint employer of the BTS delivery drivers and thus required to recognize and collectively bargain with their union—something Amazon has refused to do.
Bloomberg noted that, if decided against Amazon, the case Carey wants to settle "could have led for the first time to an agency judge, the NLRB members in Washington, and, eventually, federal appeals court judges ruling that Amazon was the joint employer of drivers for one of its delivery service partners."
"Amazon contracts with thousands of such partners to manage hundreds of thousands of delivery workers," Bloomberg observed.
Before Trump nominated her to replace labor champion Jennifer Abruzzo as general counsel of the NLRB, Carey was a partner at Morgan Lewis, one of the biggest management-side law firms in the country. The Economic Policy Institute noted following Carey's Senate confirmation last year that Morgan Lewis "represents corporations known for violating workers’ rights, including Amazon, SpaceX, Apple, and Tesla."
"Morgan Lewis is also pursuing the legal challenge that the NLRB is unconstitutional, despite several former NLRB members being employed at the firm," EPI noted. (Amazon has also argued in court that the labor board is unconstitutional.)
Amazon donated $1 million to Trump's inaugural fund, and the company's founder, mega-billionaire Jeff Bezos, attended the inauguration ceremony alongside other big-name tech executives.
Despite her ties to Amazon via her tenure at Morgan Lewis, Carey argued that she was not required to recuse herself from the case she's working to settle. According to Bloomberg, Carey said in an interview that "because a year had passed since she herself represented Amazon and because Morgan Lewis wasn’t representing the company in the [ongoing joint employer] case, she didn’t need to recuse herself."
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As Amazon Sees Record Profits, Customers Say 'Start Delivering Climate Action'
“Amazon has an extraordinary opportunity and an obligation to act more swiftly on climate change,” one member of Prime Members for a Cleaner Amazon said.
Feb 06, 2026
Friday, the day after Amazon revealed record 2025 profits, 10 members of Prime Members for a Cleaner Amazon staged a pedicab protest in front of its Seattle headquarters, calling on the company to raise its climate ambition to the level of its earnings.
In its fourth quarter report, released Thursday, the tech giant announced that its 2025 income had soared to $77.7 billion, up from $59.2 billion in 2024.
“Amazon has an extraordinary opportunity and an obligation to act more swiftly on climate change,” participant Michael Lazarus told Common Dreams. “It’s a leading provider of consumer goods to consumers who want climate action. It has made broad pledges to take action on climate change, it has made some small steps, but it needs to deliver on immediate action.”
Concerned customers are demanding the company put some of those profits toward speeding up the electrification of its delivery fleet, powering its data centers with renewable energy, and improving working conditions for its employees while respecting their collective bargaining rights. A Morning Consult poll found that 80% of Prime members surveyed wanted the company to reduce its transport and delivery emissions, and 75% would accept slower delivery times in exchange for less climate pollution.
“Profits are up. So is pollution. Prime members say: Deliver more climate action.”
“Amazon’s success is built on us, its customers. Now, we’re asking the company to stop celebrating profits and start delivering climate action,” said Dr. Chris Covert-Bowlds, a Seattle-based member of Prime Members for a Cleaner Amazon and Washington Physicians for Social Responsibility.
The protest took place outside Amazon’s Day 1 building, where CEO Andy Jassy has his office, from around 8:00 am to 10:30 am Pacific time. Participants rode four pedicabs as a subtle suggestion to the company of how to move goods without fossil fuels. The cabs were decorated with billboards with messages such as, “Deliver packages. Not pollution,” and “Profits are up. So is pollution. Prime members say: Deliver more climate action.”
Participants also handed out hundreds of stickers and flyers to Seattle residents and Amazon employees.
Amazon has a history of making sustainability promises it does not keep and retaliating against employees who call it to account. While it has pledged to reach carbon neutrality across its operations by 2040, it is increasingly unclear how it will achieve this given its buildout of energy-intensive data centers and artificial intelligence.
“We’ve been calling attention to Amazon’s failure to align its emissions reductions with the latest climate science for years,” Stand.earth campaigner Joshua Archer told Common Dreams.
However, he said what “makes this moment really unique” is that Amazon is now failing three distinct groups of people: consumers like those at the protest who want it to do better on climate, investors who are concerned about returns from the AI buildout, and the 30,000 employees it laid off since October despite its record profits.
“The company is not respecting the employees on whose backs the company has built its success” just as it’s “not respecting the latest climate science,” Archer said.
Lazarus said that many employees expressed interest in the protesters’ demands. While some zipped past in headphones, others “lit up and were clearly engaged and simpatico.”
He noted that Amazon employees have been organizing for years to pressure the company to increase its climate ambitions through Amazon Employees for Climate Justice, and hoped the addition of consumer advocacy would help “Amazon realize that there’s a groundswell of support for taking more aggressive measures to reduce their climate impact... which is becoming quite monumental given the growth in data cents and the influence that they carry.”
Lazarus told Common Dreams it was also important to him that Amazon ramp up its climate ambitions given President Donald Trump’s determination to double down on fossil fuels and inhibit renewable energy.
“We know that we’re not going to see much climate action at the federal level,” he said. “It becomes all the more important for corporate actors like Amazon to demonstrate that it remains committed to and acts upon its need to reduce emissions.”
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Trump-GOP Law Slashes Amazon's Tax Bill by 87% as Company Fires 30,000 Workers, Profits Soar
"Congress made a choice: cut assistance for the most vulnerable to double down on a tax code already favoring dominant firms," said one progressive think tank.
Feb 06, 2026
The tax law that congressional Republicans and US President Donald Trump enacted last summer has proved to be a massive boon for Amazon, slashing the corporate behemoth's 2025 tax bill even as its profits surged and it moved ahead with mass layoffs that have cost 30,000 workers their jobs since October.
Citing a new securities filing, the Wall Street Journal reported Friday that Amazon's "current US taxes, an accounting measure of taxes incurred last year, declined to $1.2 billion from $9 billion" while the company's "pretax US profit increased by 44.5%, to $89.5 billion. On a cash basis, the company paid $2.8 billion in federal income taxes last year after paying more than $7 billion in each of the prior two years."
The 87% decline in Amazon's federal tax bill for 2025 was largely attributable to the One Big Beautiful Bill Act's corporate-friendly depreciation tax breaks.
The new securities filing comes just days after Amazon confirmed it axed 16,000 corporate jobs as part of what's believed to be a sweeping effort to replace workers with robots and artificial intelligence models in the coming years.
The Roosevelt Institute, a progressive think tank, noted that the tax benefits that Amazon and other giant corporations are raking in "didn't come free."
"The same law slashed Medicaid and the [Affordable Care Act] and is now exacerbating our medical debt crisis," the organization wrote on social media. "Congress made a choice: cut assistance for the most vulnerable to double down on a tax code already favoring dominant firms."
In a statement on Friday, Amazon—founded by billionaire Jeff Bezos—said its dramatically lower tax bill "reflects... changes by Congress" purportedly aimed at encouraging "greater investment in the American economy, its innovation, and its workers."
The Institute on Taxation and Economic Policy (ITEP) noted Friday that Amazon is one of four companies that "have now disclosed that they collectively received $51 billion in federal tax breaks in 2025, much of that likely from the so-called One Big Beautiful Bill Act (OBBBA) that was signed into law by Trump over the summer."
"The annual financial reports recently released by Amazon, Alphabet, Meta, and Tesla disclose that these corporations collectively reported $315 billion in US profits for 2025, and collectively paid just 4.9% of that amount in federal corporate income taxes—with Tesla paying exactly zero," wrote ITEP's Matthew Gardner. "That amounts to a collective tax savings of $51 billion last year for these four giant multinational corporations, versus what they would have paid if they paid the full 21% federal corporate income tax rate."
" Tax cuts pushed through by the Trump administration last year and in 2017 have made it possible for the fastest-growing companies in the world to pay record-low federal income tax rates on their income," Gardner added. "The tax avoidance of these four companies alone blew a $51 billion hole in the federal budget last year, and this is likely just the tip of the iceberg."
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'So Much for the Golden Age of America': Layoffs Hit 17-Year High Under Trump
The latest job cuts report signals "employers are less-than-optimistic about the outlook for 2026," said one analyst.
Feb 05, 2026
While President Donald Trump continues to falsely claim that the US economy is the hottest in the world, new data released Thursday shows that announced layoffs in January hit a high not seen since the Great Recession of 2009.
The new report by corporate outplacement firm Challenger, Gray & Christmas shows that that US employers announced more than 108,000 job cuts last month, more than double the nearly 50,000 job cuts that they announced one year before.
In fact, the announced job cuts were higher than any January since 2009, when the economy was in the middle of a global financial crisis.
Andy Challenger, chief revenue officer for Challenger, Gray & Christmas, said that the January 2026 job cuts were "a high number" and a signal that "employers are less-than-optimistic about the outlook for 2026."
The biggest cuts on the month came from UPS, which announced that it would be slashing 30,000 jobs, and Amazon, which announced workforce reductions of 16,000 jobs.
"So much for the 'Golden Age of America'," said Rep. Mark Pocan (D-Wis.), as he noted layoffs surging to the highest levels in 17 years.
The healthcare industry, which has been a rare bright spot in terms of job growth in recent months, announced more than 17,000 jobs cuts in January, the highest number in that sector since April 2020 when the US was in the midst of the Covid-19 pandemic.
The report also showed that artificial intelligence was only responsible for 7% of layoffs announced last month, although Challenger acknowledged that it's "difficult to say how big an impact AI is having on layoffs specifically."
Additionally, the report found that US employers had announced just over 5,300 hiring plans in January, which it noted was "the lowest total for the month since Challenger began tracking hiring plans in 2009."
Sara Nelson, president of the Association of Flight Attendants-CWA, pointed to "the worst job numbers since the Great Recession" in a social media post. The union leader noted that the 5,300 hiring plans were "the lowest one record since the early 2000s," while adding that "layoffs are up over 100% since last January, and over 300% since January of 2024."
Mohamed El-Erian, economist at the University of Pennsylvania's Wharton School, described the Challenger report as "sobering," and pointed to a potentially ominous trend regarding wealth inequality in the US.
"These layoffs are occurring while GDP continues to grow at approximately 4%," he observed in a social media post, "accelerating the decoupling of employment from economic growth—a phenomenon that, if it persists, has profound economic, political, and social implications."
Melanie D'Arrigo, executive director of the Campaign for New York Health, said that the job cuts were yet more evidence that Trump and Republicans' economic policies were a failure.
"'If you give more tax cuts to corporations, those corporations will create more jobs,' is the lie politicians who are funded by corporations tell people to justify giving their corporate donors more tax cuts," she wrote. "Trump’s corporate and billionaire tax cuts create profits—not jobs."
Laura Ullrich, director of economic research in North America at the Indeed Hiring Lab, said during an interview with ABC News published on Tuesday that workers in the current economy are "hugging onto [their current job] more than they normally would" because so few companies are taking on new staff.
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Seeking Pentagon Contracts, Bezos Rolls Out Red Carpet After Dropping $40 Million on ‘Melania’
"Trump gets paid. Taxpayers get screwed," said one congressman.
Feb 03, 2026
The $40 million film Melania, a biography of the first lady that was purchased by Amazon, has been panned as a "bribe disguised as a documentary," an "expensive propaganda doc," and a "journey into the void."
But despite the reviews, the tech firm has poured an unprecedented $35 million into a marketing campaign for the documentary, and one government watchdog group suggested Monday that the investment by the third-richest person in the world, Amazon founder Jeff Bezos, is already paying off.
Bezos welcomed Defense Secretary Pete Hegseth to his Blue Origin facilities in Florida on Monday as part of Hegseth's "Arsenal of Freedom" speaking tour, which is aimed at overhauling the Pentagon's relationship with defense tech companies.
"Blue Origin is committed to supporting national security to, through, and from space," said Bezos at the event.
Speaking during Secretary of War Pete Hegseth’s “Arsenal of Freedom” tour at Cape Canaveral, Jeff Bezos says U.S. national security now hinges on industrial speed, scale, and space-based capability.
READ MORE: https://t.co/cOUQii31TJ#amazon #jeffbezos #nationalnews #florida pic.twitter.com/uaFGaoMhnI
— KRCR News Channel 7 (@KRCR7) February 3, 2026
Blue Origin, Bezos' space exploration firm, has received billions of dollars in defense contracts to build technology that uses space lasers, nuclear-powered spacecraft, and a processing facility for satellites.
Hegseth said during his tour that Blue Origin is likely to do "plenty of winning" as the Pentagon hands out additional contracts.
Late last month, Amazon Web Services was also awarded a $581 million contract to support the US Air Force's Cloud One program.
Greg Williams, director of the Project on Government Oversight's Center for Defense Information, told USA Today that on its face, Hegseth's visits to Blue Origin as well as SpaceX, the space technology firm owned by Trump administration associate and Republican megadonor Elon Musk, were not "particularly novel."
But considering Bezos' purchase and promotion of the documentary spotlighting President Donald Trump's wife, said Williams, Hegseth's hobnobbing with the tech mogul raises new questions about Bezos' desire to curry favor with the White House.
"By spending a tiny amount of money to buy the rights," said Williams, Bezos "potentially gets a much larger return."
As such, Hegseth's visit to Blue Origin called attention to a situation of "unprecedented conflict of interest," Williams added.
US Rep. Greg Casar (D-Texas) summarized the apparent transaction involving the documentary rights and the government contracts: "Trump gets paid. Taxpayers get screwed."
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'Scowling Void of Pure Nothingness': Critics Destroy $75 Million Melania Trump Documentary
"It’s one of those rare, unicorn films that doesn’t have a single redeeming quality," said one critic.
Jan 31, 2026
Critics have weighed in on Amazon MGM Studios' documentary about first lady Melania Trump, and their verdicts are overwhelmingly negative.
According to review aggregation website Metacritic, Melania—which Amazon paid $40 million to acquire and $35 million to market—so far has received a collective score of just 6 out of 100 from critics, which indicates "overwhelming dislike."
Similarly, Melania scores a mere 6% on Rotten Tomatoes' "Tomameter," indicating that 94% of reviews for the movie so far have been negative.
One particularly brutal review came from Nick Hilton, film critic for the Independent, who said that the first lady came off in the film as "a preening, scowling void of pure nothingness" who leads a "vulgar, gilded lifestyle."
Hilton added that the film is so terrible that it fails even at being effective propaganda and is likely to be remembered as "a striking artifact... of a time when Americans willingly subordinated themselves to a political and economic oligopoly."
The Guardian's Xan Brooks delivered a similarly scathing assessment, declaring the film "dispiriting, deadly and unrevealing."
"It’s one of those rare, unicorn films that doesn’t have a single redeeming quality," Brooks elaborated. "I’m not even sure it qualifies as a documentary, exactly, so much as an elaborate piece of designer taxidermy, horribly overpriced and ice-cold to the touch and proffered like a medieval tribute to placate the greedy king on his throne."
Donald Clarke of the Irish Times also discussed the film's failure as a piece of propaganda, and he compared it unfavorably to the work of Nazi propagandist Leni Riefenstahl.
"Melania... appears keener on inducing narcolepsy in its viewers than energizing them into massed marching," he wrote. "Triumph of the Dull, perhaps."
Variety's Owen Gleiberman argued that the Melania documentary is utterly devoid of anything approaching dramatic stakes, which results in the film suffering from "staggering inertia."
"Mostly it’s inert," Gleiberman wrote of the film. "It feels like it’s been stitched together out of the most innocuous outtakes from a reality show. There’s no drama to it. It should have been called 'Day of the Living Tradwife.'"
Frank Scheck of the Hollywood Reporter found that the movie mostly exposes Melania Trump is an empty vessel without a single original thought or insight, instead deploying "an endless number of inspirational phrases seemingly cribbed from self-help books."
Kevin Fallon of the Daily Beast described Melania as "an unbelievable abomination of filmmaking" that reaches "a level of insipid propaganda that almost resists review."
"It's so expected," Fallon added, "and utterly pointless."
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From Amazon to Home Depot and Beyond, Mass Layoffs Continue to Punish Working Class Under Trump
"When taking into account predicted downward revisions, the data says we’re losing jobs," said one economic analyst.
Jan 29, 2026
Although President Donald Trump has given himself glowing marks for his economic record, the US job market has continued showing signs of weakness amid recent layoffs from some major employers.
The Associated Press on Thursday published a roundup of corporate layoffs that have been announced in recent months, highlighted by Amazon, which announced it was cutting an additional 16,000 jobs on Wednesday; United Parcel Service, which on Tuesday revealed plans to slash 30,000 jobs; and chemical maker Dow, which on Thursday said it would be reducing its workforce by 3,000.
And as reported by CNBC, retailer Home Depot announced on Wednesday that it was eliminating 800 positions as it struggles with slower sales that company executives blame on a dampened housing market caused by high interest rates.
The latest layoffs are not merely anecdotal data, but symbolic of a labor market that has been stuck in a rut for several months. As noted by economic analyst Steve Rattner in a Thursday social media post, average monthly employment growth has been "slightly above zero" ever since Trump first announced his market-shaking tariffs in April.
"When taking into account predicted downward revisions," Rattner added, "the data says we’re losing jobs."
This week's announced Amazon layoffs drew the ire of Americans for Tax Fairness, which pointed out that the Jeff Bezos-founded online retail giant has been the beneficiary of several big-ticket tax breaks for more the last several years.
"We've given Amazon $9.5 BILLION in tax breaks over the last 7 years," the group explained. "And for what? Their CEO made $263 million from 2018-2024. Since 2013, they've spent $857 million on stock buybacks and $161 million on lobbying. And they just announced they're laying off 16,000 workers."
The Washington Post, which is owned by Bezos, is reportedly bracing for layoffs of its own.
A Thursday report from Semafor revealed that the Post's White House reporters wrote a letter to Bezos imploring him to back off a plan to make substantial cuts throughout the paper's staff.
"The effort from the Washington Post’s White House reporters comes as staffers are scrambling to preserve their jobs, with layoffs set to hit the newsroom hard in the coming weeks," Semafor reported. "Unconfirmed rumors have circulated in recent days about the scope of the cuts, which are expected to be as high as 300."
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As Wage Growth Slows and Unemployment Rises, Trump Tax Cuts Deliver Big for Mega-Rich Retail CEOs
"At the same time prices have soared for consumers and retail workers remain stuck in low-wage jobs, big-store CEOs and shareholders have reaped higher profits and lower taxes."
Dec 19, 2025
As workers face slowing wage growth, a worsening cost-of-living crisis, and rising unemployment, the chief executives of top corporate retailers in the United States are reaping huge gains from the tax cuts that US President Donald Trump and congressional Republicans extended over the summer.
An analysis released Friday by the progressive advocacy group Americans for Tax Fairness (ATF) estimates that the CEOs of Amazon, Best Buy, Costco, Home Depot, Lowe's, Target, TJX, and Walmart have collectively saved close to $35 million on their individual tax returns in the seven years the Trump tax cuts have been in effect.
Thanks to the Trump-GOP tax law, which took effect in 2018, the companies examined in the analysis paid a tax rate of just 17.5% between 2018 and 2024—roughly half what they paid prior to the law's enactment.
"While at the same time prices have soared for consumers and retail workers remain stuck in low-wage jobs, big-store CEOs and shareholders have reaped higher profits and lower taxes," David Kass, ATF’s executive director, said in a statement. "If we want a system that alleviates economic stress on average Americans instead of exacerbating it during the holiday season, we need to raise taxes on corporations and the rich, invest in workers and families with expanded public services."
Workers at the major retailers haven't fared nearly as well. ATF noted that "the average worker at the eight stores was paid less than $32,000 in 2024."
"Amazon—the world’s largest retailer—refuses to even sit down with its employees who have formed a labor union for better pay, benefits, and working conditions," the group observed. "If Lowe’s had used the nearly $50 billion it spent on stock buybacks over the seven-year period to instead raise employee wages, its workers would have each been paid almost $200,000 more."
Across the US economy, workers are seeing wage growth stagnate amid elevated and still-rising prices, which are forcing many to skip meals and ration their medications to make ends meet.
The Labor Department said earlier this week that wage growth decelerated to 3.5% year over year—the slowest pace since before the Covid-19 pandemic. Unemployment, meanwhile, rose in November to the highest level in four years.
The ATF analysis came days after Trump delivered a lie-filled primetime speech defending his handling of the US economy as his approval ratings tanked, with American voters across party lines increasingly furious over the high costs of housing, groceries, healthcare, and other necessities.
During the speech, Trump vowed that Americans would soon "see the results of the largest tax cuts in American history."
But the richest people in the country are set to reap disproportionate benefits from the tax cuts. As Bloomberg reported earlier this week, "Many filers—particularly those who could most use the financial boost—may soon be disappointed."
"Wealthy taxpayers in high-tax states like California, New York, and New Jersey are the biggest winners," the outlet noted.
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Investigation Reveals How Amazon Is Fleecing Public Schools With 'Algorithm-Driven Pricing'
"Public officials should be deeply concerned by what we found."
Dec 05, 2025
A detailed investigation released Thursday reveals that the e-commerce behemoth Amazon is using its market dominance and political influence to gain a foothold in local governments' purchasing systems, locking school districts into contracts that let the corporation drive up prices for pens, sticky notes, and other basic supplies.
The new report by the Institute for Local Self-Reliance (ILSR), titled Turning Public Money Into Amazon’s Profits: The Hidden Cost of Ceding Government Procurement to a Monopoly Gatekeeper, is based on purchasing records from nearly 130 cities representing more than 50 million Americans.
ILSR found that "cities, counties, and school districts spent $2.2 billion with Amazon in 2023—a nearly fourfold increase since 2016."
"Through its Amazon Business platform, the company has maneuvered to become the default source for office products, classroom materials, cleaning supplies, and other routine goods," the report states. "Today, it is embedded in most local governments, making inroads into state agencies, and dominating a new program designed to reshape how federal agencies buy commercial products."
Unlike the fixed pricing that's typical for government contracts, the agreements that Amazon has secured with local governments across the US entail "algorithm-driven pricing" to "covertly raise prices and inflate costs for governments."
"The result is dramatic price variation: One city bought a 12-pack of Sharpie markers for $8.99, while a nearby school district paid $28.63 for the identical pack that same day," ILSR said. "Our data contain thousands of similar examples, with some agencies paying double or even triple what others paid for the same items."
1. Hard to believe, but Amazon has persuaded schools and cities across the country to abandon competitive bidding and fixed price contracts. Instead, they're signing contracts with Amazon that specify dynamic pricing. The result: Paying $37 for 12 pens or $74 for 36 markers. pic.twitter.com/afIIkPucZL
— Stacy Mitchell (@stacyfmitchell) December 5, 2025
Overall, ILSR found that school districts bound to Amazon contracts spend twice as much per student as school districts without an agreement with the $2.5 trillion company.
“Public officials should be deeply concerned by what we found,” Stacy Mitchell, co-executive director of ILSR, said in a statement. “Amazon is reshaping public procurement in ways that expose taxpayer dollars to waste and risk. It has persuaded cities and schools to abandon safeguards meant to ensure fair prices and accountability—while driving out independent suppliers, eroding competition, and putting Amazon in a position to dictate terms.”
Having gained sweeping access to local government purchasing processes, Amazon is increasingly inserting itself into state and federal systems. ILSR noted that "Amazon dominates the General Services Administration’s Commercial Platforms Program, a new system for agencies to make purchases below $15,000 that do not require competitive bids."
"During the first two years of the program’s pilot phase," the group found, "Amazon captured 96% of sales."
ILSR emphasized that Amazon's dominance is by no means inevitable and can, with concerted action, be rolled back.
"A handful of cities and counties have recognized the risks of relying on Amazon and taken steps to restore transparency and keep public dollars local," the report observes. "Tempe, Arizona rejected an Amazon group-purchasing contract after hearing concerns from a local business owner. Between 2017 and 2023, the city cut its Amazon spending by 84% while increasing purchases from local suppliers. Phoenix likewise prioritizes local bids and has spent almost nothing with Amazon over the last decade."
Kennedy Smith, co-author of the report, said that "when local officials put real safeguards in place and prioritize local suppliers, they save money, strengthen their economies, and restore public control over public dollars."
To keep their procurement system free of the kinds of tactics Amazon uses to line its pockets with taxpayer money, ILSR urged state and local governments to prohibit so-called "dynamic pricing" in purchasing contracts and to prioritize buying from local businesses.
"By reclaiming control of public procurement, governments can safeguard dollars, strengthen local businesses, and ensure that the goods that sustain our schools and public services are supplied through systems that are transparent, competitive, and democratic," the group said.
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