Amazon has announced a $2.2 billion investment to raise wages and enhance benefits for hourly employees across its U.S. fulfillment and transportation network, a move that will impact thousands of employees working in the company’s Chicago-area fulfillment centers. 

Udit Madan, Amazon’s vice president of worldwide operations, emphasized the company’s commitment to competitive pay.

“We’ve led the industry by consistently increasing our wages, and this year, hourly team members will see an additional $1.50 per hour, bringing their average base wage to over $22 per hour,” Madan said in the announcement. “This pay increase also reflects our commitment to keeping compensation competitive and rewarding.”

In the Chicago metropolitan area, where the mean hourly wage for logistics and warehousing is just over $19 for a single adult, Amazon’s new $22 base wage (equivalent to $29 with benefits) exceeds local wage benchmarks. For full-time employees working 40 hours weekly, the pay increase translates to an average annual boost of approximately $3,000.

The expanded benefits package includes health, vision, and dental insurance starting on the first day of employment for full-time employees, an uncommon benefit in the U.S. job market, where waiting periods are often the norm. Amazon has also introduced a mental health program offering free counseling sessions and pediatric mental health services.

With Chicago’s technology sector experiencing rapid growth, Amazon’s Career Choice program has become increasingly relevant. The program, which helps employees pursue certifications and degrees in high-demand fields like data analysis, cloud computing, and logistics, aligns with Chicago’s rising demand for tech talent—projected to grow by over 11% in the next decade.

Starting next year, Amazon will also add a Prime membership as an employee perk, rounding out a benefits package designed to attract and retain talent across its nationwide network.