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Amazon's Hidden Cost: Taxpayer Subsidies Fuel Record Profits

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AMZN MCD
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Amazon's vast logistics network has become an integral part of American commerce, rivaling the US Postal Service in parcel volume. However, beneath its success lies a concerning reality: the company's reliance on taxpayer-funded assistance programs to support its workforce.

A recent report by Fortune revealed that between 2020 and 2025, the number of Amazon workers receiving government aid through SNAP (Supplemental Nutrition Assistance Program) and Medicaid nearly tripled. This staggering increase coincides with Amazon's massive rise in annual profit, from $11.6 billion in 2020 to $77.7 billion in 2025.

The data, obtained by the US Government Accountability Office, showed that 12,346 Amazon workers across 11 states relied on SNAP for food assistance, while an additional 11,338 used Medicaid. This federal support constitutes a significant de facto subsidy of Amazon's labor force, enabling the company to maintain low wages and reap record profits.

Amazon is not alone in this issue; other top employers of adult SNAP and Medicaid enrollees include Walmart, Uber, McDonald's, and Dollar General. The report highlights the struggles of working-class families in the US, where nearly 14 million working adults were enrolled in Medicaid in 2024, and over 10.6 million received SNAP benefits.

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