Amazon has announced a $1 billion investment aimed at increasing wages and reducing healthcare costs for its U.S. fulfillment and transportation workers, including those in New York. The company revealed this initiative on its website, highlighting plans for higher hourly pay and lower health expenses.
According to Amazon, fulfillment and transportation workers who have been employed for three years have seen an average wage increase of 35%. As part of the 2025 investment initiative, average hourly wages now exceed $23, while total compensation, which includes benefits, surpasses $30 per hour. The company estimates that full-time employees will gain an average of $1,600 more in annual wages, with individual hourly raises ranging from $1.10 to $1.90 depending on role and tenure.
Beginning in 2026, Amazon’s entry-level health plan will reduce weekly employee contributions to $5 and lower most copays for primary care and mental health visits to the same amount. The company states these changes represent a 34% drop in weekly premiums and an 87% decrease in copay costs. This healthcare revision is part of Amazon’s broader benefits strategy, which also includes tuition assistance, paid parental leave, and access to mental health services.
Amazon has invested over $2 billion since 2019 in workplace safety improvements across more than 2,500 global sites. These efforts include new technologies, ergonomic upgrades, and training initiatives. The company employs over 10,000 professionals focused on health and safety. Over a five-year period, Amazon reports a 34% reduction in Recordable Incident Rates and a 65% reduction in Lost Time Incident Rates due to these ongoing safety efforts.
The company employs more than one million workers in the United States and operates thousands of facilities nationwide. Regular full-time employees are eligible for health coverage starting their first day of employment. They also have access to fully prepaid tuition at over 475 colleges and institutions, participation in a 401(k) plan with company matching, and a complimentary Amazon Prime membership as part of the company’s ongoing employee support model.
