Amazon increases average pay for warehouse workers and adds free Prime membership perk

Amazon increases average pay for warehouse workers and adds free Prime membership perk


An Amazon warehouse

Getty Images

Amazon announced Wednesday it’s raising wages for its hourly warehouse workers, and adding a new employee perk that will give them a Prime subscription at no extra cost.

Starting this month, Amazon’s average starting pay for front-line employees in the U.S. will be bumped to an average of more than $22 an hour, up from roughly $20.50 an hour, the company said.

Amazon said it’s also making its Prime subscription service a part of employees’ benefit package beginning “early next year.” The service, which costs $140 a year, gives members access to speedy shipping and video streaming, among other perks.

Last week, Amazon also hiked wages for its contracted delivery drivers to roughly $22 an hour as part of a $2.1 billion investment this year into its third-party logistics program.

The wage hikes come as Amazon is preparing to enter the peak holiday shopping season, a period when retailers typically see a flurry of online shopping. Amazon said Tuesday it plans to host a second Prime Day-like deal bonanza on Oct. 8-9, the third year it’s held the discount event.



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