# Amazon raises minimum wage by $1

> Full-time operations workers now earn $20 per hour, matching Costco but leaving contractors behind.
- Title: Amazon raises minimum wage by $1 · Mashable | Shortify
- Summary: Full-time operations workers now earn $20 per hour, matching Costco but leaving contractors behind. Amazon's wage increase to $20/hour applies only to direct…
- Keywords: amazon, minimum wage, wage increase, full-time workers, operations workers, united states, $20 per hour, employee compensation, technology, culture, raises, minimum
- Source: Mashable — https://mashable.com/tech/amazon-raises-minimum-wage-by-1-dollar
- Author: Matt Binder
- Published: 2026-09-16T21:09:04+00:00
- Read time: 1 min
- Topics: amazon, minimum wage, wage increase, full-time workers, operations workers, united states, $20 per hour, employee compensation, technology, culture
## Amazon raises minimum wage to $20
Amazon announced Wednesday it's raising the minimum hourly wage for full-time operations workers in the U.S. from $19 to $20 per hour.

> Full-time Amazon employees will now get paid a minimum wage of $20 per hour.
## Total compensation exceeds $32 hourly
When benefits are included, Amazon says average total compensation for these workers is now more than $32 per hour. Healthcare starts at $5 weekly, plus Prime membership and education programs.

> average total compensation for these workers is now more than $32 per hour
## New financial services benefit added
Amazon introduced Day 1 Financial, giving qualified employees and families access to low-cost financial services through First Tech Federal Credit Union.
## Now matches Costco's entry wage
Amazon's $20 minimum now matches Costco's, which raised its entry-level pay to $20 last year. It exceeds Walmart's $14 and Target's $15 starting wages.
## Contractors left out of raise
The wage increase applies only to Amazon's direct employees. The company outsources many positions to subcontractors who won't receive the raise.
## Key takeaway

Amazon's wage increase to $20/hour applies only to direct employees, not outsourced contractors.