Amazon boosts wages and expands worker benefits

SEATTLE — Amazon is investing more than $1.5 billion to increase pay for U.S. core operations employees while introducing new grocery discounts and financial benefits.

The company is raising pay by $1 an hour for eligible employees, bringing the minimum starting wage for full-time core operations roles to $20 an hour nationwide. Average hourly pay will reach nearly $24, while average total compensation exceeds $32 an hour when the value of benefits is included.

Amazon said its minimum starting pay has increased more than 17% over the past three years. The company also has an annual step plan that provides pay increases during an employee’s first three years.

The company is also launching Day 1 Financial, a banking benefit provided through First Tech Federal Credit Union. Qualified employees, their spouses and children will be able to retain access to the credit union for life, including after the employee leaves Amazon.

The program includes checking and savings accounts with no overdraft or monthly maintenance fees and no account minimums, along with access to thousands of surcharge-free ATMs and credit-building programs. Qualified members can also access credit cards, auto loans and home loans. The benefit will begin rolling out in late 2026 and become broadly available in 2027.

Beginning Oct. 1, all U.S. Amazon employees will also receive an uncapped 10% discount on eligible groceries and everyday essentials purchased through Amazon.com and Whole Foods Market online. Employees will receive 20% off in-store purchases at Whole Foods Market, including its hot and salad bars. The discounts can be combined with existing Prime member discounts.

The additions build on Amazon’s existing employee benefits, including health care from day one for regular full-time employees, free Prime membership, prepaid tuition of up to $5,250 annually through Career Choice, a 401(k) with company match, paid parental leave and 24/7 mental health support.