Amazon increases hourly average starting pay to $18

Amazon is boosting its hourly average starting pay to $18 and plans to hire 125,000 new workers across the U.S., the company announced Tuesday. 

The Seattle-based tech giant said in “select locations” sign-on bonuses of up to $3,000 are available.  

The roles are in fulfillment and transportation and hiring is already underway, according to the announcement. News of the wage increase follows the company’s previous announcement of 40,000 new corporate and technology jobs. 

“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, retail managing director for Global Data, an intelligence and analytics research firm, said in a statement included to Amazon’s press release. 

The update comes less than a week after Amazon announced it would expand the education and skills training benefits it offers to U.S. employees to cover college tuition costs. 

Amazon’s hiring update and wage boost also follows public allegations of unfair workplace conditions leveled at the company. The tech giant has pushed back on those accusations. 

Workers at Amazon’s warehouse in Bessemer, Ala., launched a union push, but ultimately the effort failed earlier this year. But a National Labor Relations Board hearing officer recommended the election be held again after concluding that Amazon interfered with the election by having a mailbox installed outside the facility after mail-in voting began. 

Amazon is also facing lawsuits alleging racial and gender discrimination from workers across its corporate offices and warehouses. 

The tech company has pushed back on the allegations and said it would hire an outside investigator to review the matters. 

Updated 12:27 p.m.