Amazon has announced that it will invest more than US$1 billion (c. £740m) to increase pay and lower health care costs for its US fulfillment center and transportation employees.
Beginning in 2025, the company’s average base pay for these roles will rise to more than $23 (c. £17) per hour, with benefits factored in reaching average total compensation will exceed $30 (c. £22) per hour.
As part of this initiative, Amazon will reduce weekly contributions for entry-level health plans to just $5 (c. £3.72), with $5 (c. £3.72) copays for common services.
The company is also updating its step plan so that tenure-based pay increases are larger and more impactful each year, encouraging long-term career growth within its operations network.
This investment is designed to strengthen retention and stability in Amazon’s workforce while positioning the company to meet demand during peak periods.
By focusing on wages, health care affordability, and clear career progression, Amazon aims to create a more resilient and motivated team across its logistics network.