GAO Finds Amazon Workers on Federal Aid Nearly Tripled as Gig Apps Reach Top 3 Employers
Updated
Updated · The Washington Post · Jul 22
GAO Finds Amazon Workers on Federal Aid Nearly Tripled as Gig Apps Reach Top 3 Employers
1 articles · Updated · The Washington Post · Jul 22
Summary
A new GAO report found Amazon workers receiving SNAP or Medicaid nearly tripled between February 2020 and September 2025, while ride-hailing and delivery platforms rose into the top three employers of aid recipients.
Across the 11 states studied, 13.8 million working adults were enrolled in Medicaid in 2024, up from 12 million in 2020, and 10.6 million relied on SNAP, up from 9 million.
Gig companies collectively overtook Walmart as the top employer of SNAP users, while Walmart remained the largest employer of Medicaid recipients and Amazon's share climbed far faster than Walmart's.
The report points to pandemic-era hiring surges, low wages, part-time work and unstable app-based income; Amazon said raw head counts are misleading, and gig-industry groups argued flexible work can reduce deeper reliance on aid.
The findings land as Trump-backed changes tighten SNAP eligibility and many states prepare Medicaid work requirements, potentially squeezing workers who already depend on both jobs and public benefits.
As millions more gig workers rely on federal aid, will new work requirements push them into poverty?
Taxpayers are subsidizing workers at giant firms. Is the booming gig economy a lifeline or a trap?
With new rules redefining 'employee,' could the entire gig economy business model be on the verge of collapse?
The Corporate Welfare Crisis: Why Millions of Working Americans at Major Employers Depend on Federal Aid (2025-2026)
Overview
Between 2025 and 2026, there was a sharp rise in working adults, especially those employed by major corporations like Amazon, relying on federal aid programs such as Medicaid and food stamps. This trend has grown since the pandemic, with Amazon standing out as the top employer of Medicaid recipients in Nevada for several years. The surge is especially notable among workers at large companies and gig economy platforms, highlighting how low wages at these firms force many employees to depend on public assistance to meet basic needs. This shift underscores a growing burden on taxpayers and raises questions about corporate responsibility.