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Amazon announced Tuesday it will pay all its U.S. workers at least $15 an hour from next month, amid criticism of conditions for employees.
“We listened to our critics, thought hard about what we wanted to do, and decided we want to lead,” said Jeff Bezos, Amazon founder and CEO, in a press release. “We’re excited about this change and encourage our competitors and other large employers to join us.”
The company said it was raising its minimum wage, including for part-time, temporary and seasonal employees, beginning next month — and lobbying for a national hike in the 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,” said Jay Carney, senior vice president of Amazon global corporate affairs.
The Seattle-based logistics giant employs 250,000 full-time workers in the U.S. out of a worldwide total workforce of 575,000.
Amazon has a reputation among customers for speed and efficiency, but some employees at its fulfillment centers told NBC News the company prioritizes speed over worker safety.
Sen. Bernie Sanders, I-Vt., recently introduced the BEZOS Act, which is meant to force large companies including Amazon to pay a tax if their workers use social services such as Medicare, food stamps and housing aid.
Amazon CEO Jeff Bezos, believed to be the world’s richest man with a net worth of more than $160 billion, last month announced a $2 billion philanthropic effort aimed at helping homeless families and starting preschools in low-income communities.
The wage news comes as Amazon is set to announce the location of its second headquarters, HQ2, by the end of the year. Amazon is also set for its yearly seasonal hiring spree. In 2017, the company said it would hire 120,000 workers for the holiday season.
Amazon’s expansion into a variety of businesses in recent years has made it one of the world’s most successful companies. In September, Amazon became only the second public U.S. company to hit $1 billion in market value.
News of Amazon’s change in its minimum wage did not do much to change investor optimism about the company. Amazon shares were down 0.5 percent in pre-market trading.