Amazon’s $1 Operations Raise Takes Effect; Full-Time Starting Floor Reaches $20

Amazon’s $1-an-hour pay increase for eligible U.S. core-operations employees took effect September 27, the Associated Press reported, citing Amazon. The company’s September 16 announcement also set a $20-an-hour minimum starting rate for full-time core-operations roles. That floor applies to those roles, not every Amazon job.

For workers comparing pay, the $1 increase and the $20 starting floor answer different questions: the first describes the raise for eligible operations employees; the second is the minimum starting rate for full-time roles in that group. Amazon says the group’s average hourly wage is now nearly $24. That average is not a promised starting rate.

Keep wages separate from benefit values

Amazon puts average total compensation above $32 an hour after assigning a value to benefits. That figure is not the hourly cash wage; the company reports the nearly $24 wage average separately. Neither average changes the stated $20 minimum starting rate for full-time core-operations jobs.

Grocery discount starts October 1

Amazon says all U.S. employees can use a grocery discount from their first day beginning October 1: 10% on eligible Amazon.com and Whole Foods online purchases, and 20% in Whole Foods Market and Daily Shop stores. Amazon.com purchases must be eligible goods sold and shipped by Amazon; gift cards and alcohol are excluded from the in-store discount. The discount has broader stated eligibility than the core-operations wage change and is separate from hourly pay.