Amazon is raising minimum starting pay for U.S. full-time core operations employees to $20 per hour – a more than $1.5 billion investment – while adding an employee grocery discount that includes 20 percent off in-store at Amazon subsidiary Whole Foods Market.
The $1-per-hour raise for eligible employees brings average hourly pay to nearly $24, with average total compensation exceeding $32 per hour including benefits, the company said. Amazon’s minimum starting pay has climbed more than 17 percent in the past three years, and an annual step plan raises pay through an employee’s first three years.
“I often hear that they appreciate a good paycheck, but also really value the full range of benefits that we offer, which together help them support their families and grow in the long run,” Udit Madan, SVP of worldwide operations for Amazon, wrote in a blog post announcing the changes.
Grocery discount starts Oct. 1
Beginning Oct. 1, every U.S. Amazon employee gains an uncapped 10 percent discount on eligible groceries and everyday essentials on Amazon.com and Whole Foods Market online, plus an uncapped 20 percent off in-store at Whole Foods, including the hot bar and salad bar. The discount applies through the employee’s Amazon account and can be combined with existing Prime member discounts.
Lifetime banking benefit
Amazon also is introducing Day 1 Financial, a membership in First Tech Federal Credit Union offering qualified employees, their spouses and children banking services they can keep for life, including checking and savings accounts with no overdraft fees, monthly maintenance fees, minimums or credit-history requirements, plus surcharge-free ATM access and credit-building programs. Access begins rolling out in late 2026 and becomes broadly available in 2027, building on the Brightside Financial Care service more than 150,000 hourly employees have used since 2022.
The new investments stack onto existing benefits including healthcare from day one at as low as $5 a week with $5 copays, free Prime membership, prepaid tuition of up to $5,250 a year through Career Choice and a 401(k) with company match.
Related: Whole Foods Investing $230M In Team Member Pay, Benefits