Amazon raises hourly wage to $23

(CNN)– Amazon has announced pay increases for its fulfillment and transportation employees.

The online retail giant is the nation’s second largest private sector employer.

Amazon says it’s increasing average pay to more than $23 per hour, and that average total compensation is now over $30 per hour when benefits are included.

Employees also get free Prime membership, pre-paid tuition programs, a 401K with company match, and other perks.

Amazon said it’s a billion-dollar investment to improve pay and lower the cost of health care for its employees.