×
You will be redirected back to your article in seconds

Amazon Raises Minimum Wage to $15 an Hour for All Employees

Amazon is raising the minimum wage for all of its workers to $15 an hour next month, the company announced on Tuesday morning. Amazon executives also said they would push for a raise of the federal minimum wage.

The raise is going to benefit more than 250,000 full-time and part-time Amazon employees as well as 100,000 seasonal employees the company is planning to hire for the upcoming holiday season.

Workers hired by temp agencies on behalf of Amazon will also be included, as will anyone working for any of Amazon’s subsidiaries, such as Whole Foods. The company also said workers who already make $15 or more per hour may see additional pay raises.

“We listened to our critics, thought hard about what we wanted to do, and decided we want to lead,” said Amazon CEO Jeff Bezos in a statement. “We’re excited about this change and encourage our competitors and other large employers to join us.”

Amazon had been under pressure for some time over both pay and working conditions at its fulfillment centers and its delivery operations. The company was singled out by Senator Bernie Sanders last month, with Sanders proposing a bill that would have forced Amazon to repay any government assistance taken by Amazon workers to make up for sub-par wages.

Sanders thanked Bezos Tuesday morning on Twitter, and called on other companies to follow suit.

Bezos responded with a tweet of his own, and said he also hoped that other companies would raise their wages as well.

It’s worth pointing out that the $15 hourly wage is not an arbitrary number. Labor activists have been pushing for a $15 minimum wage for some time, and for instance, picketed fast food chains to pressure them to raise wages.

At least on this front, they may now have found a new ally in Amazon. The company announced Tuesday that it would start to lobby for a higher federal minimum wage.

“We will be working to gain Congressional support for an increase in the federal minimum wage. The current rate of $7.25 was set nearly a decade ago,” Jay Carney, Amazon’s senior vice president of global corporate affairs, said in a statement. “We intend to advocate for a minimum wage increase that will have a profound impact on the lives of tens of millions of people and families across this country.”

Investors largely seemed to shrug off the additional costs associated with the wage increase on Tuesday. After first sinking slightly, the company’s stock price traded in positive territory later in the morning.

More Digital

  • Alibaba Buys 8% Stake in Chinese

    Alibaba Buys 8% Stake in Chinese Video Platform Bilibili

    Alibaba has purchased an 8% stake in the Chinese online video platform Bilibili, the official Xinhua news agency reported. Bilibili is one of China’s top video streaming and entertainment platforms, with about 92 million monthly active users and 450 million page-views per day. Founded in 2009, it was listed on the NASDAQ last March. Alibaba’s [...]

  • Clevver-Logo

    Hearst Magazines Buys Clevver's Pop-Culture YouTube Channels After Defy's Demise

    Hearst Magazines has snapped up Clevver, a network of female-skewing lifestyle and pop-culture news YouTube channels that had been owned by now-defunct Defy Media. Clevver was left homeless after Defy’s sudden shutdown in November; its principals said at the time they were looking for a new home. Hearst Magazines sees a digital fit with Clevver’s [...]

  • "Brother" -- Episode 201-- Pictured (l-r):

    CBS Interactive's Marc DeBevoise on Streaming Boom, Content Strategy, and Apple

    Not everyone wants or needs to be Netflix to succeed in the streaming space. And not everyone sees Apple’s enigmatic new service as a threat. Even as rival streaming services offer gobs of content, CBS Interactive’s president and COO Marc DeBevoise sees the company’s targeted original programming strategy continuing to attract viewers to its All [...]

  • Rhett-Link-Good-Mythical-Morning

    Rhett & Link's Mythical Entertainment in Talks to Acquire Smosh (EXCLUSIVE)

    Smosh, the YouTube comedy brand left stranded after parent company Defy Media went belly-up, may be about to get a new business partner. Mythical Entertainment, the entertainment company founded by top YouTube comedy duo Rhett & Link, has been in talks about acquiring the Smosh brand, sources told Variety. Multiple potential buyers came forward to [...]

  • Pokemon Go

    Proposed 'Pokémon Go' Lawsuit Settlement May Remove Poké Stops, Gyms

    A proposed settlement in the class action lawsuit against “Pokémon Go” developer Niantic could remove or change a number of Poké Stops and Gyms in the popular augmented reality game. The proposed settlement was filed in a California court on Thursday and applies to anyone in the U.S. who owns or leases property within 100 meters [...]

  • Skyline of Doha at night with

    Qatar's beIN Rallies Support From U.S. Companies Against Pirate Broadcaster beoutQ

    Qatari powerhouse beIN Media Group has rallied support from American sports and entertainment entities, including Discovery and Fox, behind its request that the U.S. government place Saudi Arabia on its watch list of top intellectual property offenders. The Doha-based broadcaster, a state-owned spinoff of Al Jazeera news network, accuses the Saudi government of harboring pirate broadcaster [...]

More From Our Brands

Access exclusive content