Workers at Seattle's Most Prestigious Restaurant Group Have Unionized
In December 2024, the employees at the Sea Creatures restaurant group were called into a meeting. Sea Creatures, founded by acclaimed chef Renee Erickson, runs some of Seattle's most celebrated restaurants, including oyster bar the Walrus and the Carpenter, innovative steakhouse Bateau, and the Whale Wins, which earned Erickson a James Beard Award in 2016. At the meeting, ownership announced there would be changes coming. After years of accepting tips, Sea Creatures restaurants would be switching to a service charge model.
Starting in January, every guest check would explain that 22 percent of the bill (about what the average customer tipped) would be added to the total. This 'is retained entirely by the house,' the checks would say. 'Revenue from this service charge is used to pay operating expenses, including labor.' At the meeting, employees learned that what this meant in practice was that about half of the service charge would be paid out to hourly workers, who, before this change, all shared in the tip pool. (Back of house employees, including dishwashers, were part of the tip pool.) The hourly rate would go up to a base rate of $25 an hour. While in theory it might appear roughly equivalent to the pre-service charge take home, workers say that in practice it spelled a sharp reduction in income from tips.
It was 'a huge pay cut for all of us,' says Jeff Kelley, who was a front-of-house worker at the time. 'They said, you either hear what we're saying and decide to continue to work here, or you quit and you go somewhere else... We immediately were like, 'No, there's a third option.'' They could form a union.
In the months that followed, Sea Creatures employees won union elections at the Walrus and the Carpenter and Bateau — Sea Creatures' biggest and most famous restaurants — as well as the doughnut shop chain General Porpoise. United Creatures of the Sea is an unusual union for several reasons. It's not affiliated with any larger union, doesn't collect dues from workers, and really only has one issue it's arguing with management about: the service charge.
'We needed a way to force Renee Erickson to listen to her employees,' says Ford Nickel, a former server at Sea Creatures.
The union says hourly workers across the board have seen pay cuts as a result of the new service charge. Unionized employees at Walrus made a combined $140,000 less so far this year than they would have under the old tipping model, according to the union's calculations. Jeremy Price, a Sea Creatures co-owner, disputes this — some workers have made less under the new system, but some have made more, he writes in an email. 'We're seeing that back-of-house workers at less busy restaurants are generally making a little more now, including dishwashers. Servers, especially at our busier restaurants, are making a little less now.'
At Walrus specifically, hourly workers make between $28.14 and $56.81 per hour, Price writes. 'We believe these wages, along with the benefits we can fund through the service charge, are among the most competitive in the industry.'
United Creatures of the Sea is now negotiating a contract with Sea Creatures. The union is represented at the bargaining table by Kelley and Nickel, both of whom no longer work for the restaurant group and volunteer their time to the union. (The union also has pro bono legal counsel.) They're hoping to get management to reduce the service charge to 10 percent or lower and encourage customers to leave tips once again. To make the math work for Sea Creatures, union employees are willing to reduce their hourly rate.
'We just want to work for our tips' — Jeff kelley
In part, this conflict reflects the shifting, complicated debate over tipping in American restaurants. Some in the industry feel that tipping is inherently inequitable, which has led to a shift to service charges, with some restaurants spelling out on receipts which portion of the service charge goes directly to workers. But in Seattle, several restaurant groups have been sued for not distributing this money precisely as promised; today many restaurants, including Sea Creatures, say the house retains the entirety of the service charge, which according to the Seattle Met shields them from lawsuits. This makes the whole process opaque from the customers' perspective. Ford and Nickel argue that a tip pool, where all hourly workers share in tips earned during their shift, is a more fair and transparent way of working.
'We just want to work for our tips,' is how Kelley puts it. 'I don't want restaurants to be able to operate this way. It's deceptive.'
Nickel and Kelley have also been frustrated by the recently announced temporary closure of Bateau and its attached General Porpoise. Price said the steakhouse is closing so it can 'refresh and retool,' and United Creatures of the Sea doesn't believe the decision was motivated by the unionization of the restaurant. Still, the closure harms the union by cutting its membership in half. If Bateau reopens as a brand-new restaurant the union might have to hold a whole new election.
Nickel and Kelley say that Sea Creatures is required by the National Labor Relations Act to negotiate with the union over the terms of the layoff, including which employees would be rehired once Bateau reopens. If they don't reach an agreement, they say they will file a complaint with the National Labor Relations Board. They say management's reticence to engage with them about that issue — and the slowness of the overall negotiation process — is what motivated them to reach out to local media.
Price says that management has been 'emailing back and forth all the time,' adding that they had just increased the frequency of meetings and were 'bargaining in good faith' when it came to layoffs at Bateau. 'We believe everyone is working in good faith and with the best interest of staff and the businesses in mind.'
In a statement, Erickson said, 'We have a lot of pride in the restaurants that we operate, and that starts with having great staff. The well-being of employees at every location is a real focus for us. We are supportive of our union locations and will continue to collaborate with and listen to them.'
The union thinks that this listening process has been disappointingly slow. 'I was hoping that if I'm the owner of a restaurant and all my employees think that what I'm doing is wrong,' says Kelley, 'I would maybe listen.' See More:
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In December 2024, the employees at the Sea Creatures restaurant group were called into a meeting. Sea Creatures, founded by acclaimed chef Renee Erickson, runs some of Seattle's most celebrated restaurants, including oyster bar the Walrus and the Carpenter, innovative steakhouse Bateau, and the Whale Wins, which earned Erickson a James Beard Award in 2016. At the meeting, ownership announced there would be changes coming. After years of accepting tips, Sea Creatures restaurants would be switching to a service charge model. Starting in January, every guest check would explain that 22 percent of the bill (about what the average customer tipped) would be added to the total. This 'is retained entirely by the house,' the checks would say. 'Revenue from this service charge is used to pay operating expenses, including labor.' At the meeting, employees learned that what this meant in practice was that about half of the service charge would be paid out to hourly workers, who, before this change, all shared in the tip pool. (Back of house employees, including dishwashers, were part of the tip pool.) The hourly rate would go up to a base rate of $25 an hour. While in theory it might appear roughly equivalent to the pre-service charge take home, workers say that in practice it spelled a sharp reduction in income from tips. It was 'a huge pay cut for all of us,' says Jeff Kelley, who was a front-of-house worker at the time. 'They said, you either hear what we're saying and decide to continue to work here, or you quit and you go somewhere else... We immediately were like, 'No, there's a third option.'' They could form a union. In the months that followed, Sea Creatures employees won union elections at the Walrus and the Carpenter and Bateau — Sea Creatures' biggest and most famous restaurants — as well as the doughnut shop chain General Porpoise. United Creatures of the Sea is an unusual union for several reasons. It's not affiliated with any larger union, doesn't collect dues from workers, and really only has one issue it's arguing with management about: the service charge. 'We needed a way to force Renee Erickson to listen to her employees,' says Ford Nickel, a former server at Sea Creatures. The union says hourly workers across the board have seen pay cuts as a result of the new service charge. Unionized employees at Walrus made a combined $140,000 less so far this year than they would have under the old tipping model, according to the union's calculations. Jeremy Price, a Sea Creatures co-owner, disputes this — some workers have made less under the new system, but some have made more, he writes in an email. 'We're seeing that back-of-house workers at less busy restaurants are generally making a little more now, including dishwashers. Servers, especially at our busier restaurants, are making a little less now.' At Walrus specifically, hourly workers make between $28.14 and $56.81 per hour, Price writes. 'We believe these wages, along with the benefits we can fund through the service charge, are among the most competitive in the industry.' United Creatures of the Sea is now negotiating a contract with Sea Creatures. The union is represented at the bargaining table by Kelley and Nickel, both of whom no longer work for the restaurant group and volunteer their time to the union. (The union also has pro bono legal counsel.) 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Ford and Nickel argue that a tip pool, where all hourly workers share in tips earned during their shift, is a more fair and transparent way of working. 'We just want to work for our tips,' is how Kelley puts it. 'I don't want restaurants to be able to operate this way. It's deceptive.' Nickel and Kelley have also been frustrated by the recently announced temporary closure of Bateau and its attached General Porpoise. Price said the steakhouse is closing so it can 'refresh and retool,' and United Creatures of the Sea doesn't believe the decision was motivated by the unionization of the restaurant. Still, the closure harms the union by cutting its membership in half. If Bateau reopens as a brand-new restaurant the union might have to hold a whole new election. Nickel and Kelley say that Sea Creatures is required by the National Labor Relations Act to negotiate with the union over the terms of the layoff, including which employees would be rehired once Bateau reopens. If they don't reach an agreement, they say they will file a complaint with the National Labor Relations Board. They say management's reticence to engage with them about that issue — and the slowness of the overall negotiation process — is what motivated them to reach out to local media. Price says that management has been 'emailing back and forth all the time,' adding that they had just increased the frequency of meetings and were 'bargaining in good faith' when it came to layoffs at Bateau. 'We believe everyone is working in good faith and with the best interest of staff and the businesses in mind.' In a statement, Erickson said, 'We have a lot of pride in the restaurants that we operate, and that starts with having great staff. The well-being of employees at every location is a real focus for us. We are supportive of our union locations and will continue to collaborate with and listen to them.' The union thinks that this listening process has been disappointingly slow. 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