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Amazon pay raise for workers 2025: Amazon is rolling out a major pay raise and healthcare cost cut for its US fulfillment and transportation workers.

Amazon Raises Wages For US Fulfillment and Transportation Workers

Udit Madan, Senior Vice President of Amazon Worldwide Operations, said on an Amazon blog post, "This year, I’m excited to share that, here in the U.S., we’re raising pay again across our network, lowering the cost of health care for those on our entry-level plan, and raising the annual progression increases (also called a step plan) for people who choose to build their careers with us (meaning the longer people stay, the more their pay increases year over year). It’s all part of a more than $1 billion commitment to our teams."

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Amazon's Average Hourly Pay to Increase Above $23 Starting This Year

Starting from this year, Madan said that, "someone who has been with us for three years has already seen their pay go up an average of 35%," as per the blog post. The average hourly wage for these workers will jump to over $23 and the average total compensation will rise over $30 an hour including the value of the benefits package.

For those who’ve been with the company the longest, raises could be between $1.10 and $1.90 per hour. For full-time employees, that means about $1,600 more in their pockets each year.

Amazon also said that, "We also have an annual step plan where pay increases each year someone is with us, and as part of these changes we’re adjusting that plan so the increases are bigger each year than they’ve been in the past."

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Amazon's Healthcare Costs for Entry-Level Plan Cut to $5 Per Week Starting Next Year

But it’s not just about wages. Starting from next year, the e-commerce giant will make healthcare more affordable by lowering the cost of its entry-level health plan to just $5 per week, with co-pays also dropping to $5.

Madan said, "That will reduce weekly contributions by 34% and copays by 87% for primary care, mental health, and most non-specialist visits for employees using the basic plan."

Amazon Benefits Packages For Employees

Amazon, which has a global workforce of 1.5 million workers, shared its benefits packages, which includes:

• Health care starting on Day 1 of employment for regular full-time employees
• Career Choice, which now pre-pays 100% of tuition at more than 475 education partners
• Retirement savings with a company 401(k) match
• Flexible time-off options that increase with tenure
• Paid parental leave and family support programs
• Employee assistance program, offering 24/7 mental health short-term counseling, referrals, and work-life support

Amazon Workers Had Striked Last December

This announcement comes after workers at seven facilities went on strike last December, led by Teamsters union, pushing the e-commerce company for a labor agreement during a key shopping period, as per a report. Then in that same month, Amazon reached a settlement with the Occupational Safety and Health Administration that requires the firm to adopt corporatewide ergonomic measures at facilities across the country, as per an ABC News report.

FAQs

Who is getting a pay raise at Amazon?
Amazon’s US fulfillment and transportation workers are getting a raise, especially those who’ve been with the company longer.

How much will Amazon workers’ pay increase?
On average, hourly wages will rise to over $23, with some longtime employees seeing increases between $1.10 and $1.90 per hour.