The change applies to all "full-time, part-time, temporary (including those hired by agencies), and seasonal employees" who are based in the US.
Sanders says he now looks forward to working with Bezos on their shared goal of raising the federal minimum hourly wage to $15 from its $7.25. That is more than double the federal minimum wage of $7.25, which the company also said that it would "advocate" to increase.
The increased raise comes at a time when the "Fight for Fifteen" movement - a union-led push for a $15 minimum wage - has been gaining traction in cities across the country.
At a press conference in September where he formally introduced the bill with Rep. Ro Khanna (D-Calif.), Sanders said Bezos could set a great example by raising wages.
"Bezos could play a profound role ― not only at Amazon but as one of the largest corporations in America ― if he said today that nobody who is employed at Amazon will receive less than a living wage", Sanders said. "I urge corporate leaders around the country to follow Mr Bezos lead, and I congratulate him for what he has done". The books-and-everything-else biz announced a new minimum wage of £10.50 for the London area and £9.50 for the rest of the United Kingdom, starting in November.
"This is about ensuring we retain, hire, and develop the best talent in the world", he said.
"All Amazon hourly employees in the Lehigh Valley will see a pay raise as a result of this announcement, including those who are already making more than $15", Amazon spokeswoman Rachael Lighty wrote in an email.
From 2017 to 2018, Bezos made $4,474,885 an hour.
Psssttt! While you're here we need your help. A rise to US$15 is an increase of 15.4 per cent. "We would look to Congress to decide the parameters of a new, higher federal minimum wage", he said in the the same blog post.
As competition among companies for qualified workers grows more intense, they are increasingly willing to pay more wages.
The company's leadership hailed the move as a moral win.
By lobbying for a higher minimum wage, Amazon is also calling on lawmakers to increase its competitors' costs.
The decision raises the stakes even further for Amazon's so-called HQ2 competition - its plan to create a second headquarters, with as many as 50,000 jobs.
The company has also been criticised for its employment practices, with complaints over working conditions in its warehouses.
Minimum wage workers are more likely to become unemployed that higher paid employees.