Amazon commits over $1.5 billion to operations pay and benefits

Amazon ($AMZN) announced more than $1.5 billion of investment in pay and benefits for its US operations workforce. Minimum starting pay for full-time core operations roles will reach $20 an hour, with eligible employees receiving a $1 hourly increase. Average hourly pay is expected to approach $24.

Amazon’s figure of more than $32 an hour includes benefits and should not be interpreted as the average cash wage. The package also adds grocery discounts and plans for banking benefits through First Tech Credit Union. These changes expand compensation across the workforce that supports fulfillment and delivery operations. Amazon did not quantify a resulting change in earnings guidance, so the investment amount should not be translated directly into a specific quarterly profit impact.

Sources:

• Amazon — operations pay and benefits announcement