Amazon VP: 'Our front-line team will be getting at least an additional $1.50 per hour starting this month'

Economics
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Amazon Employees | Provided Photo

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Amazon is investing $2.2 billion to boost hourly wages and benefits for employees in Cincinnati, raising the average base wage to over $22 per hour. Udit Madan, Amazon's vice president of worldwide operations, noted that Amazon conducts annual reviews of wages and benefits to keep them competitive within the industry.

“In 2018, we led the industry in increasing our starting wage to $15 per hour—more than double the federal minimum wage. Today, we announced that hourly members of our front-line team will be getting at least an additional $1.50 per hour starting this month,” Madan wrote in the announcement.

In the Cincinnati area, Amazon employs thousands of workers, particularly at its Air Cargo Superhub at the Cincinnati/Northern Kentucky International Airport (CVG). This hub has been a significant driver of employment in the region. The investment raises Amazon’s average base wage for hourly employees to over $22 per hour, well above the 2023 national average of $17.70 per hour for warehouse workers, as reported by the Bureau of Labor Statistics. Employees working 40 hours a week will see an average annual pay increase of approximately $3,000.

Employees will also receive a revised benefits package that includes health, vision, and dental insurance from day one, a standout benefit as most U.S. workers face waiting periods before coverage begins. Additionally, Amazon has introduced a mental health support program that offers free counseling sessions and pediatric mental health services.

Amazon's Career Choice program aligns with the growth in logistics and healthcare in the Cincinnati area, helping local employees secure better-paying roles in high-demand industries such as transportation and healthcare administration. The program now offers language classes, degree and certification opportunities, and support for advancement in these critical fields. 

Alongside wage and benefit enhancements, Amazon will be offering a new Prime membership perk for employees starting next year.

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