Story
Amazon Lifts Minimum Hourly Pay to $20 for US Operations Workers
Summary
Amazon.com announced it is increasing the minimum hourly wage for its U.S. operations staff by $1 to $20, while also introducing a new financial services benefit for employees.
Amazon.com (NASDAQ: AMZN) announced on Wednesday it is raising the hourly pay for its eligible full-time U.S. operations workers by $1, bringing the new minimum wage to $20 per hour.
Compensation and Benefits Expansion
According to the e-commerce and cloud computing giant, the wage increase is part of a broader enhancement of its employee compensation package. When factoring in its benefits, the company stated that the average total compensation for eligible full-time employees in its core operations roles will now exceed $32 per hour.
In addition to the pay raise, Amazon unveiled a new benefit called "Day 1 Financial." This program provides qualified employees and their families with lifetime access to low-cost banking services through a partnership with First Tech Federal Credit Union.
Broader Context
AdThis new initiative builds upon Amazon's existing benefits, which the company highlighted include:
- Healthcare coverage for as little as $5 per week
- A complimentary Prime membership
- Prepaid education programs
The move to increase wages and benefits comes as large employers across the United States compete for talent in a persistently tight labor market. Such compensation adjustments are a key strategy for attracting and retaining the hourly workforce essential to logistics and fulfillment operations.
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