New York City is creating a 36-person bureau within its Department of Consumer and Worker Protection (DCWP) to analyze vast amounts of company data, aiming to uncover and prosecute instances of consumer and worker exploitation. This new unit, formally named the Research and Analytics Division, is spearheaded by Commissioner Sam Levine, a former Federal Trade Commission attorney, and is part of Mayor Zohran Mamdani's administration's aggressive stance on consumer protection. The division will consist of data scientists, technologists, and economists who will sift through what Levine describes as "billions of records" to build cases against predatory corporations.
The Research and Analytics Division will focus on issues such as algorithm-driven firings, surveillance pricing, and violations of the city's wage and scheduling laws. For example, it could investigate ride-hailing companies charging different prices for the same trip to different customers. The unit aims to leverage technology, mirroring private sector advancements, to conduct more complex investigations and move faster. Levine stated the goal is to "look under the hood, understand how companies are setting their prices, understand how companies are setting their wages, and attack the everyday indignities consumers and workers face."
The initiative has a budget of $4 million, allocated by Mayor Mamdani, and has already hired nine data scientists and researchers, with plans to be fully operational by October 2027. Senior data scientists can earn between $98,000 and $129,000. This approach has already shown success; data scientists, some of whom will join the new bureau, helped design and defend the city's $23 per hour minimum pay rule for delivery app workers, which has led to over $2 billion in additional earnings for workers and increased their total hourly earnings to $27.32 from $10.48 since December 2023. The bureau's economists will also produce independent research to counter industry-controlled studies.
DCWP, under Mamdani's administration, has been visibly active. Within days of his inauguration, a task force on junk fees was launched, and hotel "destination" charges were banned. The department has since opened a restitution fund following a settlement with a self-storage company over deceptive advertising, issued new debt collection rules, and mandated "click to cancel" subscription rules. FTC Commissioner Lina Khan, who advised Mamdani's transition and chairs the city Economic Development Corporation's Board of Directors, praised the new unit, calling it a model for other cities and states.
