Amazon has unveiled an above-inflation pay rise for tens of thousands of its UK employees, a move likely to attract scrutiny from the Bank of England amid ongoing concerns about wage-driven inflation.
From the end of the month, the company’s minimum starting pay will increase by 5.9% to £14.30 an hour, or by 5.5% to £15.30 an hour, depending on location. This equates to annual salaries ranging from £29,744 to £31,824 for frontline workers.
Amazon noted that its minimum starting pay has risen 43% since 2022, underscoring the company’s efforts to remain competitive in the UK labour market.
The Bank of England has previously warned that persistent wage growth risks fuelling inflation, which currently stands at 3.8%. Latest ONS figures show average wages rose 4.8% in July.
John Boumphrey, Amazon’s UK country manager, said:
“Our UK frontline employees are essential to our success, which is why we’re proud to increase our minimum starting wage to £29,744 a year.
Beyond this competitive wage, we offer industry-leading benefits from day one and meaningful career development opportunities for all our employees.”
