Amazon announced on Wednesday that it will raise the minimum starting pay for full-time operations workers to $20 an hour and introduce new employee benefits, including grocery s at Whole Foods, according to CBS News and The Guardian. The increase marks a $1 raise from the previous starting level; With this change, the average hourly pay for Amazon workers is now $24, the company said.

Expanding Employee Benefits

Beginning October 1, all U.S. employees will receive a 10% on eligible fresh groceries on Amazon.com and the Whole Foods website, and a 20% in-store at Whole Foods locations. These perks are in addition to existing benefits such as free Prime memberships and health insurance for qualified employees. The Seattle-based company also announced a partnership with First Tech Federal Credit Union, offering employees, their spouses, and children lifetime membership access, starting in late 2026.

Workforce and Pay Comparisons

Amazon employs approximately 1.5 million workers globally, according to FactSet, and In the U.S., it has around 1.1 million employees, making it the second-largest private employer, behind Walmart. The company also reported the creation of 390,000 delivery service provider jobs, which are managed by contractors — the new minimum wage brings Amazon’s starting pay in line with Costco, which raised its lowest starting wage to $20 an hour in 2025. In comparison, Target’s starting wage remains at $15 an hour, and Walmart’s at $14 an hour.

Commitment to Employee Improvement

In a blog post, Udit Madan, senior vice-president of worldwide operations at Amazon, emphasized the company’s focus on continuous improvement, though “We talk a lot about continuous improvement at Amazon,about always wanting to get better, even when things are going well,” he wrote. “I’m excited about how these investments work together to help our employees and their families continue to thrive for the long run.”