Amazon boss Jeff Bezos said the retailer has “listened to critics” and upped its minimum wage across the UK and US.
The online giant’s London-based employees will be paid £10.50 per hour, while full-time, part-time, agency-hired and seasonal employees across the rest of the UK will be paid £9.50 per hour starting next month.
The retailer currently pays its minimum wage workers over the age of 25 £8 per hour.
In the US, the etail giant’s minimum wage salary will rise to $15 per hour – and Amazon has said it will also lobby for the federal minimum wage in the US, which has stood at $7.25 per hour since 2009, to rise.
The move will result in a pay rise for 37,000 UK employees and 350,000 US workers respectively.
Founder and chief executive Jeff Bezos said: “We listened to our critics, thought hard about what we wanted to do, and decided we want to lead.
“We’re excited about this change and encourage our competitors and other large employers to join us.”
Amazon’s minimum wage increase represents a 28% pay hike for its London employees, and means the retailer will pay about the wage level recommended by the Living Wage Foundation of £8.75 in the rest of the UK and £10.20 in London.