Amazon (NASDAQ: AMZN) announced it is raising minimum starting pay for U.S. full-time core operations employees to $20 per hour, a $1 per hour increase, with average hourly pay reaching nearly $24. The company said average total compensation, including benefits, exceeds $32 per hour.

The pay increase represents more than $1.5 billion in additional compensation for U.S. core operations employees, according to a statement from the company.

Amazon also announced a new banking benefit called Day 1 Financial, a membership program through First Tech Federal Credit Union, a federally insured, member-owned institution. The benefit is available to qualified employees, their spouses, and their children, and can be retained after leaving the company. Features include no overdraft fees, no monthly maintenance fees, no account minimums, and no credit history requirement to open an account. Access is set to begin rolling out in late 2026 and become broadly available in 2027.

Beginning October 1, 2026, all U.S. Amazon employees will receive grocery discounts, including 10% off eligible items on Amazon.com and Whole Foods Market Online, and 20% off in-store purchases at Whole Foods Market. The discounts are uncapped and can be combined with existing Prime member discounts.

The company said its minimum starting pay has increased more than 17% over the past three years. Existing benefits include healthcare coverage starting at $5 per week with $5 copays, a free Prime membership, prepaid tuition of up to $5,250 per year through the Career Choice program, a 401(k) with company match, and paid parental leave.

More than 150,000 hourly employees have used Brightside Financial Care, a existing one-on-one financial assistance service, since 2022.