Amazon fulfillment centers have a significant effect on local economies, according to new research from Oxford Economics. The study analyzed 55 U.S. counties where Amazon created at least 1,000 jobs in a single year and compared them with similar counties that did not receive such investments.
Five years after an Amazon fulfillment center opened, the affected counties saw several notable changes. New business formation increased by 5%, which is about 6,000 new businesses per county. Unemployment rates dropped by an average of 0.37 percentage points, equating to nearly 12,000 fewer people without jobs. Average weekly wages rose by 2.6%, and labor force participation went up by 0.45 percentage points as more residents joined the workforce. There was also a decline in Medicaid enrollment by 0.48 percentage points.
The researchers found that when they excluded neighboring counties to avoid spillover effects, these positive impacts were even stronger, indicating that the results may be conservative estimates.
Amazon has also made substantial investments in its employees and infrastructure. The company is spending over $1 billion to increase pay and reduce health care costs for U.S. fulfillment and transportation workers, resulting in average total compensation of more than $30 per hour including benefits.
In Georgia alone, since 2010, Amazon has invested $23.8 billion across more than 50 sites and contributed $25.5 billion to the state’s GDP while supporting various economic activities.
“Amazon provided residents with honest employment, where people can secure a job, be able to take care of families, and have a good quality of life,” said Mayor Vince R. Williams of Union City, Georgia.
Oxford Economics reported that Amazon’s investments helped lower Fulton County's unemployment rate by 1.3 percentage points.
The company has also focused on workforce development programs such as Career Choice, which covers prepaid college tuition after just three months of employment so employees can pursue education in high-demand fields while continuing their work at Amazon.
“One of the biggest things I love about Amazon is flexibility,” said Serenity Thomas, a learning trainer in Fulton County who started as an entry-level employee. “When I needed an extra day to do homework, I could put in PTO or take unpaid leave, and I’m grateful that I have a manager who was understanding.”
“The four walls don’t define where a career at Amazon can go,” said Joaquin Gomez-Boteyo, a technician who completed Amazon’s Mechatronics and Robotics Apprenticeship program in San Bernardino County, California. “If you are willing to take the opportunity to learn, Amazon will give you the resources.”
Community support initiatives are another aspect of Amazon’s presence in local areas. In San Bernardino County, for example, the company covered curriculum licenses and multi-year professional development for all middle and high schools in two districts—reaching over 12,000 students—and pledged $25 million annually to expand computer science access nationwide.
Amazon has also established Disaster Relief hubs in places like San Bernardino County and Fulton County for faster responses during natural disasters. During the California wildfires in 2025, the company provided $10 million in relief funds and donated over half a million essential items to relief organizations.
According to Oxford Economics' research findings, these efforts create lasting benefits beyond direct employment by enhancing overall economic conditions within communities.
