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[BUSINESS] · United States · 2 sources

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Amazon expands logistics network and faces scrutiny over worker assistance reliance

Amazon is pursuing an aggressive expansion of its logistics capabilities through an initiative codenamed Project Mercury. The company plans to add more than 1,000 new same-day fulfillment centers over the next five years, a more than tenfold increase from its current 85 locations. The goal is to place a same-day facility within 10 miles of 80% of Prime customers by 2031, aiming to compete more directly with the proximity advantages held by brick-and-mortar retailers like Walmart.

Concurrently, reports from the U.S. Government Accountability Office indicate that a significant number of Amazon workers rely on federal assistance. Between 2020 and 2025, the number of employees receiving Supplemental Nutrition Assistance Program (SNAP) and Medicaid benefits nearly tripled. Data shows 12,346 workers across 11 states receive SNAP assistance, while 11,338 rely on Medicaid. This trend occurs alongside a substantial increase in Amazon's annual profits, which rose from $11.6 billion in 2020 to $77.7 billion in 2025.

Entities

Amazon · U.S. Government Accountability Office · Walmart