New York City sets up data-first watchdog to probe gig economy and pricing tactics

What the city is building

New York City is standing up a new research and analytics unit inside the Department of Consumer and Worker Protection, and it is moving fast. "I think you're going to see us moving very quickly," said Sam Levine, who leads DCWP, on Bloomberg This Weekend. "Some of our data scientists are already in place, and we are hiring a lot more."

The bureau will have 36 specialists, including data scientists, technologists and economists. Levine said they will sift through what he described as billions of records to help the city bring cases against predatory companies and practices.

What the team will do

Levine said the first targets include gig work, such as digging into why ride share drivers can be paid different amounts for the same trip. New Yorkers could also see the city move early against add-on costs such as junk or hidden fees, with analysts drawing on individual complaints to test whether problems are systemic.

He added that "you're going to see in the weeks to come some of the most significant rulemakings and enforcement actions in the history of DCWP," saying the actions will "recognize that this is now part of our economy" and ensure technology is "working for people and working for consumers." The division plans to analyze firms' datasets to monitor tactics like surveillance-based pricing and to check compliance with New York City's pay and shift-timing regulations. $4 million has been allocated to the unit by Mayor Zohran Mamdani, and full operations are expected by October 2027.

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Why city leaders say they are pushing harder

Levine previously led the FTC's Bureau of Consumer Protection while Lina Khan was chair, during the Biden administration. He said part of his urgency comes from what he sees as limited federal enforcement. "Historically, that is not a role that New York City has played, but that really is going to change because the DC cavalry is not coming to save us," he told Bloomberg Television. "We need to arm up right here in New York City to make sure that the kind of ripoffs we are seeing nationwide don't happen in the five boroughs."

Under Mamdani's administration, the department - responsible for business licensing and regulation, enforcing consumer protection, and labor standards - has adopted a more assertive stance. For everyday New Yorkers, that means the city is putting more analysts on the job to unpack prices, pay and fees you see on your phone and receipts, and to act when patterns look off.

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