We show that a freshly sedimented granular bed settles and creeps forward over extended periods of time under an applied hydrodynamic shear stress, which is below the critical value for bedload transport. The rearrangements are found to last over a time scale which is millions of times the sedimentation time scale of a grain in the fluid. Compaction occurs uniformly throughout the bed, but creep is observed to decay exponentially with depth, and decreases over time. The granular volume fraction in the bed is found to increase logarithmically, saturating at the random close packing value $phi_{rcp} approx 0.64$, while the surface roughness is observed to remain essentially unchanged. We demonstrate that an increasingly higher shear stress is required to erode the bed after a sub-critical shear is applied which results in an increase in its volume fraction. Thus, we find that bed armoring occurs due to a deep shear-induced relaxation of the bed towards the volume fraction associated with the glass transition.