Amazon is raising average starting pay to $18 per hour in bid to attract 125,000 new hires

Amazon sign on building in Santa Clara, Calif.
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As a nationwide labor shortage continues, e-commerce giant Amazon has announced it is seeking tens of thousands of new employees and is raising wages yet again.

Earlier this year, Amazon announced it was hiring 75,000 employees across the country with average wages starting at $17 an hour and sign-on bonuses of up to $1,000 in certain locations. Now, the world’s largest online retailer has announced it hopes to sign on 125,000 workers in hundreds of cities and towns across the U.S. The positions in fulfillment and transportation offer an average starting pay of more than $18 per hour, as well as sign-on bonuses of up to $3,000 in select locations.

In this hot job market, Amazon believes these positions can be especially beneficial to those who don’t live in big cities, where more jobs tend to be available.

“Amazon’s job creation efforts will be welcomed by job seekers across America — especially in more rural locations, which are traditionally not the focus of strong retail investment,” Neil Saunders, managing director, retail, for Global Data, an intelligence and analytics research firm, said in Amazon’s statement about the new jobs. “Our research has found that salaries for logistics jobs are 16% higher than shop-floor jobs, and a higher percentage of logistics roles have scope for full-time working and provide benefits such as health care. In essence, this expansive job creation effort will provide an injection of wealth and opportunity into local areas.”

The announcement from Amazon comes at a time when companies are having to work extra hard to attract workers. Job openings are at a record high, and fewer Americans are seeking jobless claims, Reuters reports.

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Amazon opened more than 250 new fulfillment centers, sortation centers, regional air hubs and delivery stations in the U.S. in 2021.

“We take our responsibility as an employer seriously and want our employees to succeed and thrive,” Dave Clark, CEO of worldwide consumer at Amazon, said in the press release. “That’s why we offer an average starting wage of over $18 per hour, provide a great range of comprehensive benefits — including health care coverage, parental leave, career training, and ways to save for the future — and have a team of thousands working to build a safe and inclusive work environment.”

Walmart also increased wages this year, as did Costco.

Anyone interested in jobs at Amazon can find out about openings and apply at amazon.com/apply.

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