Amazon ditches independent contractor model for house cleaning services

Amazon carpet

Retail giant bucks tech industry trend by hiring employees in pilot program

Reports from Bloomberg and Business Insider indicate that Amazon has shifted direction in its latest foray into the $16 Billion residential cleaning market. The company has a new pilot program in Seattle, Amazon Home Assistants, which hires cleaners as regular employees, not as 1099 independent contractors. Services can include cleaning, trash removal, laundry, and dishes. The move to hire cleaning technicians gives the company more control over training, quality, and the products used. The Amazon Home Assistants website states, "All our technicians are Amazon employees who are trained professionals. If you’d rather be at a park than vacuuming or seeing a concert rather than folding laundry we can help. We use 100% eco-friendly and kid-safe cleaning products which are rated 4 stars and above on Amazon. All our services are backed by our happiness guarantee. If you’re not satisfied, we’ll come back and fix any problems." Other acquisitions that may help Amazon embed itself in the home services market are Amazon Key—which allows homeowners to give home access to service workers remotely—and Ring, a smart doorbell startup that the company agreed to purchase last month for around $1 Billion. Read more on Bloomberg Read more on Business Insider

Austin Walker is Creative Director for Cleaning Business TodayCleaning Business Builders, and Castle Keepers House Cleaning. He is a producer, videographer, web designer, and novelist. Austin worked for four years at CNN and for sixteen years at an ABC affiliate.

Cleaning Business Today 50 X 50Cleaning Business Today is a publication of Tom Stewart and Derek Christian, who also partner in Castle Keepers House Cleaning, one of the fastest growing professional house cleaning services in the US.

FAQs

Q: What compliance issues should cleaning business owners monitor?

A: Cleaning businesses should monitor licensing, wage and hour rules, overtime eligibility, employee classification, workers’ compensation, insurance coverage, safety requirements, and state-specific employment laws. Requirements can change, so owners should confirm details with qualified legal or HR advisors.

Q: Why do labor rules matter for residential cleaning companies?

A: Labor rules affect pricing, scheduling, payroll, hiring models, profitability, and risk. Misclassifying workers or missing wage requirements can create back-pay exposure, penalties, lawsuits, and operational disruption.

Q: How can a cleaning company reduce compliance risk?

A: Document worker roles, pay practices, job expectations, safety procedures, insurance coverage, and policy acknowledgments. Review state and federal updates regularly and use professional payroll, HR, or legal support for classification and wage questions.

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