Amazon has announced an increase in pay and expansion of benefits for its fulfillment and transportation workers in California and across the United States. The enhancements include a $5 weekly health care plan and improved educational opportunities.
According to Amazon, the 2024 pay and benefits update represents one of its largest annual investments in employee experience, totaling over $1 billion to improve compensation, health care affordability, and career development for its U.S. workforce. The company said that these improvements were guided by employee feedback gathered across its fulfillment and transportation networks, helping Amazon tailor benefits that directly reflect what workers value most. The announcement comes ahead of major seasonal events like Prime Big Deal Days and the holiday season, highlighting the company’s continued focus on rewarding and retaining its workforce during the busiest operational period of the year.
Amazon’s workplace report indicates that the average hourly pay for U.S. fulfillment and transportation employees will now exceed $23 per hour, while total compensation, including benefits, will surpass $30 per hour. The company said that full-time employees will receive an average annual pay increase of approximately $1,600, with additional adjustments ranging from $1.10 to $1.90 per hour for long-tenured workers. Employees who have stayed with the company for at least three years have already seen average pay increases of 35%, illustrating the value of long-term career growth within its network.
Beginning in 2026, Amazon plans to lower costs for employees using its entry-level health care plan to $5 per week for coverage and $5 for copays, reducing weekly contributions by 34% and copays for primary and mental health care visits by 87%. These changes are expected to save hundreds of dollars annually for full-time employees and their families, reinforcing Amazon’s mission to make health care more affordable across California and the U.S. These updates build on an existing benefits package that includes health coverage from day one, 401(k) matching, paid parental leave, and its Career Choice program, which pre-pays 100% of tuition at more than 475 educational partners.
According to its official company overview, Amazon employs more than 1.5 million people worldwide, including tens of thousands across California who work in fulfillment centers, delivery operations, and logistics management. The company’s mission emphasizes creating opportunity through investment in technology, training, and employee well-being. By expanding pay, reducing health care costs, and funding education access, Amazon continues to advance its long-term goal of becoming Earth’s best employer, offering stable careers and advancement pathways to its diverse global workforce.
