Amazon raises US minimum wage to $20 per hour

Amazon announced on Wednesday that it is increasing the minimum hourly wage for its eligible full-time U.S. operations workers by $1, bringing the new minimum to $20 per hour. This move is part of a broader investment in employee compensation and benefits.

In addition to the wage increase, Amazon is introducing a new benefit called "Day 1 Financial," which will provide qualified employees and their families with lifetime access to low-cost banking services through a partnership with First Tech Federal Credit Union. These new offerings build upon Amazon's existing benefits package, which includes healthcare coverage starting at $5 per week, a complimentary Prime membership, and prepaid education programs.

Amazon stated that when the value of its benefits package is included, the average total compensation for eligible employees working full-time in core operations roles is expected to exceed $32 per hour. According to a separate statement from Udit Madan, Senior Vice President of Amazon Worldwide Operations, average pay for fulfillment and transportation employees has increased to more than $23 per hour, with average total compensation exceeding $30 per hour when including elected benefits.