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Amazon is raising the minimum starting pay for full-time core operations employees in the US to $20 an hour, as part of an investment of more than $1.5 billion in higher wages for eligible workers.
Udit Madan, Amazon’s Senior Vice President of Worldwide Operations, said, “I often hear that they appreciate a good paycheck, but also really value the full range of benefits that we offer—which together help them support their families and grow in the long run.”
According to the company, the pay increase of $1 an hour is effective immediately and will take the average hourly pay for full-time core operations employees to nearly $24 an hour. Including the value of benefits, average total compensation will exceed $32 an hour.
Amazon said the increase applies to eligible full-time core operations employees across the US, including roles that often require no prior experience. The company also has an annual step plan under which pay increases during an employee’s first three years.
Alongside the wage increase, Amazon is introducing Day 1 Financial, a lifetime banking benefit through First Tech Federal Credit Union. The benefit will provide qualified employees and their spouses and children with access to banking services that they can continue to use after leaving Amazon.
Day 1 Financial is expected to begin rolling out in late 2026 and become broadly available in 2027. It includes no overdraft or monthly maintenance fees on standard checking and savings accounts, no account minimums and no credit history requirement to open those accounts.
Amazon is also introducing grocery discounts for its US employees from October 1, 2026. Employees will receive an uncapped 10% discount on eligible groceries and everyday essentials purchased on Amazon.com and Whole Foods Market online, and 20% off eligible purchases in-store at Whole Foods Market.
The company said the new measures build on existing benefits for eligible employees, including free Prime membership, healthcare costing as little as $5 a week with $5 copays, and prepaid education programmes.
Amazon said its minimum starting pay has increased by more than 17% over the past three years.
With inputs from Bloomberg
Also read: Explained: Why CCPA fined Rapido ₹10 lakh over pre-ride tipping but not Namma Yatri
Udit Madan, Amazon’s Senior Vice President of Worldwide Operations, said, “I often hear that they appreciate a good paycheck, but also really value the full range of benefits that we offer—which together help them support their families and grow in the long run.”
According to the company, the pay increase of $1 an hour is effective immediately and will take the average hourly pay for full-time core operations employees to nearly $24 an hour. Including the value of benefits, average total compensation will exceed $32 an hour.
Amazon said the increase applies to eligible full-time core operations employees across the US, including roles that often require no prior experience. The company also has an annual step plan under which pay increases during an employee’s first three years.
Alongside the wage increase, Amazon is introducing Day 1 Financial, a lifetime banking benefit through First Tech Federal Credit Union. The benefit will provide qualified employees and their spouses and children with access to banking services that they can continue to use after leaving Amazon.
Day 1 Financial is expected to begin rolling out in late 2026 and become broadly available in 2027. It includes no overdraft or monthly maintenance fees on standard checking and savings accounts, no account minimums and no credit history requirement to open those accounts.
Amazon is also introducing grocery discounts for its US employees from October 1, 2026. Employees will receive an uncapped 10% discount on eligible groceries and everyday essentials purchased on Amazon.com and Whole Foods Market online, and 20% off eligible purchases in-store at Whole Foods Market.
The company said the new measures build on existing benefits for eligible employees, including free Prime membership, healthcare costing as little as $5 a week with $5 copays, and prepaid education programmes.
Amazon said its minimum starting pay has increased by more than 17% over the past three years.
With inputs from Bloomberg
Also read: Explained: Why CCPA fined Rapido ₹10 lakh over pre-ride tipping but not Namma Yatri
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