Amazon increases starting hourly wage for full-time operations employees by $1 to $20

Wage increase brings Amazon’s US minimum pay in line with Costco and includes new grocery discount benefitAmazon has raised its minimum wage in the US to $20 an hour, with average pay at the company reaching $24 an hour, according to the company.The pay increase represents a $1 increase from its starting level. NEW YORK (AP) — Online behemoth Amazon said it’s increasing the starting hourly wage for its U.S. full-time operations employees like warehouse workers by $1 to $20.

With the increase, the average wage will be nearly $24 an hour, with average total compensation of more than $32 an hour including the value of its benefits package, according to Amazon’s announcement Wednesday. The pay increase is effective starting Sept. Amazon also said Wednesday that employees will receive new benefits like a 10% discount on eligible fresh groceries and everyday essentials at Amazon.com and Whole Foods Market online as well as 20% off at Whole Foods physical stores.

The discount can be combined with existing Prime member discounts, the retailer said. The discount will be available to every Amazon employee in the U.S. Amazon also said it’s rolling out access to qualified employees and their families for a membership in First Tech Federal Credit Union that provides low-cost banking services they can keep for life.

Employees can access accounts with no overdraft or monthly maintenance. The company said no credit history is required to open a checking and savings account. The rollout will start later this year.

In comparison, Walmart last year expanded its 10% employee discount to include nearly all grocery purchases at its stores and online. The discount had previously applied to fresh groceries and general merchandise but didn’t include such groceries as milk, pasta, or meat except during the November and December holiday shopping period. At Walmart, the starting pay for hourly workers is $14, with U.S.

hourly employees making more than $18.50 on average, according to Walmart. Walmart also noted that the average hourly starting wage is $16. For Walmart warehouse and other supply network workers, the average hourly wage is $27.50 and the average hourly starting wage is $24.75.