Abstract:
Amazon has raised the minimum starting wage for full-time U.S. core operations employees to $20 an hour, a move that comes just ahead of its massive holiday season hiring. The hourly wage increase of US$1 applies to front-line employees of this e-commerce company, covering order sorting, packaging, transshipment and other positions. Amazon announced the pay increase on Wednesday along with a number of new benefits, including discounts on groceries on Amazon's online platform and in Whole Foods Market stores.
As the salary increase and new benefits are implemented, Amazon is about to usher in the holiday shopping season. During this period, the company will recruit people on a large scale to cope with the massive online orders that will flood into its logistics network. Last year, Amazon planned to hire 250,000 full-time, part-time and seasonal employees before the holiday season.
Amazon stated that the current average salary of core operating employees in the United States is close to US$24 per hour; if the value of benefits is included, the average total compensation exceeds US$32 per hour. The company said its minimum starting salary has increased by more than 17% in the past three years.
The company also announced that it will add discounts on groceries for all U.S. employees. Starting from October 1, employees can enjoy a 10% discount on eligible fresh food and daily necessities on the Amazon website and Whole Foods Market online channels; and a 20% discount on purchases at Whole Foods Market offline stores.
Amazon will also launch a new banking benefit, providing employees and their families with First Technology Federal Credit Union membership, giving employees lifetime access to low-cost banking services.
Amazon said that this benefit includes no overdraft fees for standard checking and savings accounts, no minimum account balance requirements, and the ability to apply for credit cards and various loans. It is designed to help employees manage their funds and plan for their future financial affairs.
This benefit will be gradually launched at the end of 2026 and fully open in 2027.
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