Amazon Raises U.S. Minimum Wage to $20 Hour, Adds Benefits

Amazon is raising the minimum hourly wage for its U.S. core operations employees by $1 to $20 per hour, effective September 27, 2026. The company announced the increase on Wednesday, stating it will cost more than $1.5 billion. With the raise, the average hourly wage for these employees will reach nearly $24, and total compensation, including benefits, will exceed $32 per hour. The wage increase applies to full-time core operations roles, such as warehouse workers who sort, pack, and transport orders. Amazon noted that its minimum starting pay has risen more than 17% over the past three years. The company employs approximately 1.1 million people in the United States, making it the second-largest private employer after Walmart. Alongside the pay hike, Amazon is introducing new benefits. Starting October 1, 2026, all U.S. employees will receive a 10% discount on eligible groceries and everyday essentials purchased online through Amazon.com and Whole Foods Market, and a 20% discount on in-store purchases at Whole Foods. The discounts can be combined with existing Prime member savings.