Tech giant Amazon (AMZN) is getting ready for another busy holiday season by hiring 250,000 seasonal workers across its U.S. fulfillment centers and transportation network. That’s the same number the firm hired in each of the last two years and comes as some economists expect shoppers to be more cautious this season, partly because of President Donald Trump’s tariff policies. Still, experts like Adobe Analytics say that e-commerce will grow faster than retail overall, even if holiday sales rise at a slower pace. Importantly, most tariffs should not hurt this year’s shopping season since inventory is already stocked.
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Alongside its seasonal push, Amazon is investing over $1 billion to raise pay and cut healthcare costs for its U.S. employees in fulfillment and transportation roles. The company said that average pay will now exceed $23 an hour, while overall compensation, including benefits, will top $30 an hour. Starting in 2026, Amazon will also reduce healthcare costs by charging just $5 a week for its entry-level plan and $5 co-pays, which is a 34% cut in employee contributions. Seasonal workers will also see improved pay, with average hourly wages above $19.
The move comes as retailers prepare for the competitive holiday period. Indeed, Walmart (WMT) and Macy’s (M) have raised their forecasts, while Target (TGT) and Best Buy (BBY) are sticking to their earlier expectations. At the same time, Amazon has previously faced criticism from workers. For instance, employees at seven U.S. facilities staged walkouts during peak shopping days last year amid demands for fairer treatment and contracts. The company also agreed to improve safety standards after federal officials stated that workers faced back injury risks, along with other health issues.
What Is the Price Target for AMZN Stock?
Turning to Wall Street, analysts have a Strong Buy consensus rating on Amazon stock based on 44 Buys assigned in the past three months. Furthermore, the average AMZN stock price target of $267.25 per share implies 21.2% upside potential from current levels.
