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The
Seattle-based company said Wednesday the average pay is
increasing to more than $23 per hour. Some of its most tenured
employees will see an increase between $1.10 and $1.90 per hour.
Full-time employees, on average, will see their pay increase by
$1,600 per year.
Amazon also said it will lower the cost of its entry health care
plan to $5 per week and $5 for co-pays, starting next year.
Amazon said that will reduce weekly contributions by 34% and
co-pays by 87% for primary care, mental health and most
non-specialist visits for employees using the basic plan.
Amazon has a global workforce of 1.5 million workers.
Last December, seven Amazon facilities went on strike, an effort
by the Teamsters union to pressure the e-commerce company for a
labor agreement during a key shopping period.
That same month, Amazon reached a settlement with the
Occupational Safety and Health Administration that requires the
online behemoth to adopt corporatewide ergonomic measures at
facilities across the country. The agency claimed hazardous
working conditions led to serious lower back and other
musculoskeletal disorders at Amazon facilities.
In January 2024, Walmart, the nation's largest private employer,
said that average wages for hourly workers would exceed $18, up
from $17.50. The increase was due to Walmart introducing some
higher-paying hourly roles in its Auto Care Centers last year,
among other changes, the company said.
Walmart, based in Bentonville, Arkansas, had announced in
January 2023 that U.S. workers would get pay raises the
following month, increasing starting wages to between $14 and
$19 an hour. Starting wages had previously ranged between $12
and $18 an hour, depending on location.
At Minneapolis-based Target, the starting hourly wage ranges
from $15 to $24 for workers employed at stores and distribution
centers, depending on the location, company spokesman Brian
Harper-Tibaldo said.
The average hourly wage for a Target store worker is more than
$18, he said.
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