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If I engaged in a one year employment contract, and 6 months in I decide I am unhappy with my hourly rate, would it be unethical to demand a rate increase?

Mike
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    You can ask, but expect a no. You agreed to the rate for that term. It's legally binding. – Jane S Jun 26 '15 at 02:44
  • Jane S - Legally binding is quite a stretch, though it depends on the country. You can ask and quit if they don't comply. It is illegal in the US to compel someone to continue to work for you (indentured servitude). – Jared Jun 26 '15 at 02:54
  • @Jared You don't have to keep working for them so it is not indentured servitude. In many cases (I can't speak for all countries or contracts), there are escape clauses in contracts where one or the other can give notice and terminate. What the OP is talking about is renegotiating a contract. If their employer is willing then they can agree and write up a new contract. Otherwise they can always terminate the contract and go work somewhere else. – Jane S Jun 26 '15 at 03:06
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    However, breaking the contract may make the OP liable for a penalty or "liquidated damages" or otherwise cost a significant amount. If you're thinking of doing this, you need a lawyer's advice. And you can probably forget any hope of working with these folks again or using them as a reference; they will NOT be happy with you. Personally I recommend finishing the contract at the price you agreed to and seeking a higher price on the next contract. Call it a learning experience. – keshlam Jun 26 '15 at 04:44
  • How is "demand a rate increase" different from "ask for a rate increase"? What do you plan on doing if the answer is no? For example, if you terminate your contract early, then that is a separate issue and you have to ask if that action is ethical. But asking for a rate increase in itself should pose no ethical problems. – Brandin Jun 26 '15 at 07:15
  • Unless a raise was prenegotiated beforehand, it is unusual to ask for one after less than a year. – Philipp Jun 26 '15 at 07:46
  • Mike, the work "demand" implies that you will quit if you don't get the increase. Is that what you meant? if not, "ask for" might be more appropriate. – DJClayworth Jun 26 '15 at 12:48
  • I feel like some more info is needed. Why do you think you should get more? If the company misrepresented the amount/difficulty/nature of the work that's a completely separate issue than you thought X dollars/hour was enough to buy a new car but it isn't. – kylieCatt Jun 26 '15 at 13:54

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Let's reverse the situation. Imagine you had contracted with someone to do some home renovation. You've agreed a price, paid some money up front, the work has started. Now halfway through the work the contractor comes and says "I'm not happy with what you are paying me. I demand you pay me more."

I'm willing to bet you would think that was unethical and unprofessional, and that you would never use that contractor again, and tell all your friends never to use him again.

That's what you're doing.

DJClayworth
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would it be unethical to demand a rate increase

Interesting word choices here.

Is it unethical?

Well, you did sign a 1-year contract. And even if you can get away with it, some (like me) would view this as you going back on your word.

Your personal ethics might not consider this an important factor. Others' personal ethics would never allow them to go back on their word, even if they had the leverage to do so.

Can you demand an increase?

Clearly you cannot just require the company to give you an increase. You have a signed contract at the current rate.

But you may be in a position where you have enough leverage such that it would be in the company's best interest to give you an increase, or you will give them your notice and leave. (Part of this leverage would depend on the specific terms of the contract as well as local laws, so make sure you know and understand them).

Again, your personal ethics come into play here as well.

Joe Strazzere
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