Uchikura & Co., LLC

$23 an Hour — Is That a Good Wage, or Are We Losing Perspective?

I saw an image online stating that Amazon offers an average wage of $23 per hour. My first reaction was simple:

 

“Hmmm… Seattle’s minimum wage is already $21.30. That doesn’t sound like much.”

 

But then I stopped myself.

 

Outside of Seattle, $23 per hour is a strong wage — especially for warehouse and entry-level positions. In many parts of the United States, that is significantly above minimum wage. Compared to the federal minimum wage of $7.25, it’s not even in the same universe.

 

So why does it feel small?

 

Because in Seattle, the minimum wage is already $21.30. That means the difference between legally required pay and Amazon’s average wage is only about $1.70 per hour. The perception changes. What would be considered generous elsewhere feels ordinary here.

 

This raises a bigger question.

 

Is Amazon underpaying?
Or has Seattle pushed its minimum wage to a level that compresses the wage structure?

 

When minimum wage climbs close to what companies pay for higher-productivity roles, wage differentiation shrinks. Incentives to move up narrow. Operating costs rise. Small businesses feel pressure long before large corporations do.

 

Yes, Seattle is expensive. Housing, food, insurance, utilities — everything costs more. Policymakers argue higher wages are necessary for workers to survive. That argument has merit.

 

But we should also ask:
Are we addressing the cost of living, or are we inflating it further?

 

If businesses must pay higher wages, they raise prices. Higher prices justify higher wages. And the cycle continues.

 

From a business owner’s perspective in the Pacific Northwest, this is not just theory. It affects hiring decisions, pricing, expansion plans, and long-term strategy.

 

$23 per hour is a good wage in America.

 

The fact that it feels unremarkable in Seattle tells us something important — not necessarily about Amazon, but about how out of sync the city may be with broader economic reality.

 

Sometimes the issue isn’t the company.

 

Sometimes the issue is the environment.