TL;DR
- The highest paying warehouse jobs are the union ones. UPS package handlers start at $21 an hour under the Teamsters contract, the highest entry wage of the big employers, and the driver path above it climbs toward $49 an hour by 2028.
- Costco is the top non-union starting wage at $20 an hour, with top of scale around $30 to $32 and an average hourly rate near $32.
- Amazon, Walmart, Target, FedEx, and Home Depot cluster lower, starting in the mid-teens to around $19, with the higher-cost markets and physical roles paying more.
- The neutral baseline is about $19 an hour. The US median for warehouse hand laborers and material movers was $40,240 a year, roughly $19 an hour, in May 2025, so the top employers pay at or above the market.
- Pay is only half the story. Union protection, hours, benefits, and how fast pay rises separate these jobs as much as the starting number does.
“Highest paying warehouse jobs” is a fair question with an honest answer: it depends on the employer, the role, and whether the job is union. The recruiting pages all claim to pay well, and the rage-bait posts all claim the opposite, so we did the boring, useful thing and pulled the real numbers, dated and sourced, and lined them up against a neutral baseline. Here is the comparison, employer by employer.
What counts as a high-paying warehouse job
By “warehouse job” we mean the hands-on roles inside fulfillment centers, distribution centers, sortation hubs, and membership warehouses: package handler, picker, packer, stower, stocker, order filler, and freight associate. These are the entry-level, no-degree-required jobs that hire fast. We are comparing the pay for that tier, and noting where a nearby step up (like moving from a UPS handler to a UPS driver) changes the math.
The pay, employer by employer
Here is the map, ordered roughly from the highest starting pay down. Treat every figure as varying by role, shift, and local market.
| Employer | Typical starting pay | Higher end | Union |
|---|---|---|---|
| UPS | $21/hr (part-time handler) | Package car driver up to about $49/hr by 2028 | Yes, Teamsters |
| Costco | $20/hr | Top of scale about $30 to $32/hr | Mostly no |
| Amazon | About $18 to $19/hr | Averages more than $22/hr | No |
| Walmart | About $14 to $19/hr | Supply chain averages about $27.50/hr | No |
| Target | $15 to $24/hr | Distribution centers at the higher end | No |
| Home Depot | At least $15/hr | Freight and overnight about $16 to $29/hr | No |
| FedEx | About $17 to $23/hr (reported) | Express couriers reported up to about $30/hr | No |
Source: UPS figures from the Teamsters 2023 to 2028 national contract; Costco from its FY2025 10-K (starting $20, average about $32/hr); Amazon and Walmart from company statements; Target from its published $15 to $24 range; Home Depot from its 2023 starting-wage floor; FedEx figures are reported ranges from wage aggregators, since FedEx does not publish a national rate. Pay varies by role, shift, and local market. Check date September 2026.
The pattern is clear once the numbers are side by side: the single highest starting warehouse wage belongs to a union job.
A caution on reading that chart: the retail floors (Walmart, Target, Home Depot) are the lowest published starting point and rise well above $15 in higher-cost markets, so treat the bars as a floor, not a typical paycheck. Walmart, for example, says its frontline associates average more than $18.50 an hour.
The neutral baseline: what warehouse work pays on average
Company numbers are marketing until you check them against something neutral. The US Bureau of Labor Statistics is not selling anything, and its wage survey is the honest yardstick.
The national median for laborers and freight, stock, and material movers was $40,240 a year, roughly $19 an hour, in May 2025, and stockers and order fillers ran about $17.95 an hour. Read against that, UPS and Costco pay clearly above the market, Amazon lands near it, and the retail floors start below it but climb with role and market. The takeaway: the best warehouse employers do pay above average, but “above average” for this work is still in the high teens to low twenties to start.
Why UPS tops the list
The reason one job stands above the rest is not generosity, it is a union contract. UPS package handlers and drivers are represented by the Teamsters, and the 2023 to 2028 national agreement set part-time starting pay at $21 an hour and pushes the top full-time package car driver rate toward about $49 an hour by 2028. Union warehouse jobs also tend to carry no-premium health coverage and a pension, which are worth thousands more on top of the wage.
That is also the honest contrast at the two big shippers: UPS is union, while FedEx is not, and FedEx Ground delivery is run through independent contractors rather than direct employees. We break that down in what it’s really like working for FedEx and working for UPS.
The tradeoffs behind the pay
The starting wage is only part of the deal. Three things separate these jobs as much as the number does:
- Hours and predictability. Retail warehouse and store roles often start part-time with variable, demand-driven schedules. Full-time and steady hours can take time to earn.
- How fast pay rises. Costco’s step system climbs to a top of scale around $30 to $32 an hour, and UPS drivers progress over four years to the top rate. Amazon’s and Walmart’s base ranges are narrow, so the fast raises come from changing roles, not tenure.
- Benefits. Union jobs and Costco carry unusually strong benefits. Amazon and Walmart lead on employer-paid college. Home Depot leads on a stock discount. The benefit that matters most depends on your goal.
How to actually land one
These are among the most accessible jobs in the country: most need no resume and no traditional interview, and many hire within days. To get the highest-paying one you can:
- Apply just before peak. Warehouse hiring spikes ahead of the winter holidays (and spring for home improvement), when the most shifts and the fastest starts are available.
- Target the union or top-of-scale employer if pay is your priority, and be ready for it to be more competitive to get into.
- Treat it as a launchpad. Use the employer-paid education (Amazon, Walmart, Target) or the internal-promotion path (Home Depot, UPS) so the job pays off beyond the hourly wage.
The employer guides
For the full, honest breakdown of each one, pay, hours, benefits, advancement, and who it fits, see our individual guides:
- Working at UPS, the union pay leader.
- Working at Costco, the top non-union wage.
- Working for Amazon, the fastest hiring.
- Working at Walmart, the biggest employer.
- Working at Target, the $15 to $24 range with debt-free college.
- Working at Home Depot, the advancement story.
- Working at FedEx, the non-union contrast to UPS.
FAQ
What are the highest paying warehouse jobs?
Among the big employers, UPS pays the most to start, at $21 an hour for part-time package handlers under the Teamsters contract, with the driver path above it climbing toward about $49 an hour by 2028. Costco is the highest non-union starting wage at $20 an hour, reaching a top of scale around $30 to $32. Amazon, Walmart, Target, FedEx, and Home Depot start lower, in the mid-teens to around $19 an hour, and vary by market.
Which warehouse job pays the most?
For entry-level warehouse work, the union UPS handler role at $21 an hour leads on starting pay. If you count the adjacent step up, a UPS package car driver climbs toward about $49 an hour by 2028, the highest of the group. Costco offers the best combination of a high start ($20) and a high top of scale (about $30 to $32).
Do warehouse jobs pay well?
Compared with other no-degree work, yes, at the better employers. The US median for warehouse hand laborers and material movers was $40,240 a year, roughly $19 an hour, in May 2025. UPS and Costco pay above that, Amazon lands near it, and retail warehouse floors start below it but rise with role and market.
Which company pays warehouse workers the most to start?
UPS, at $21 an hour for part-time handlers, under the Teamsters 2023 contract. Costco is next at $20 an hour. Both start above the roughly $19-an-hour national median for the work, and above the mid-teens starting floors common in retail warehousing.
Are union warehouse jobs better paid?
Generally, yes, and the benefits gap is even larger than the wage gap. UPS’s Teamsters contract sets a $21 starting wage, a defined driver-pay ladder toward about $49 an hour, no-premium health coverage, and a pension. Most other large warehouse employers are non-union, with pay set by the company and benefits that vary widely.
How much do warehouse workers make on average?
The US median was $40,240 a year, roughly $19 an hour, for laborers and freight, stock, and material movers, and about $17.95 an hour for stockers and order fillers, as of May 2025 (BLS). Actual pay depends heavily on the employer, whether the job is union, and the local market.
The bottom line
If your goal is the highest-paying warehouse job, the answer is a union one: UPS starts highest and climbs highest, and Costco leads the non-union field. Amazon, Walmart, Target, FedEx, and Home Depot compete on speed of hiring, benefits, and advancement more than on the starting wage. Whichever you chase, remember that the number on the job post is a floor, not a ceiling, and the fastest way to earn more is to use the education and promotion paths these jobs open.
When you are ready to move up or move on, our team will review your resume for free and tell you honestly where it stands.
A note on the numbers. Empire Resume is an independent editorial team, not affiliated with or endorsed by any employer named here. Pay figures come from company statements, the Teamsters 2023 UPS contract, and, where companies do not publish pay (FedEx especially), reported ranges from wage aggregators, all as of September 2026. Every figure varies by role, shift, seniority, and local market, and wages change over time, so treat this as the shape of the market, not a quote for a specific job. Confirm the current pay on each employer’s careers page and the actual job posting before you count on it. This is general information to help you compare, not financial or career advice.
