Amazon has announced a significant wage increase for over 800,000 of its U.S. warehouse and transportation workers. The company is raising wages by at least $1.50 per hour, bringing the average starting pay to over $22 an hour.
In addition to this pay hike, Amazon is offering its employees free Amazon Prime memberships, which typically cost $139 per year.
These moves come as part of a broader trend among companies like UPS, Walmart, and Target, who are also increasing wages for warehouse and logistics workers amid a competitive labor market. Amazon’s wage increases come ahead of the busy holiday season, with online sales expected to grow by up to 9%, according to a report by Deloitte.
The company is also working to improve worker safety, claiming that work-related injuries have decreased by 28% in the last five years.