Yes, this is an option that many restaurants choose or consider - the main thought process is that when you raise the price of menu items, the consumer does not understand the reason for it or where that money is going whereas when you do implement a kitchen appreciation fee at least the consumer understands that that portion of their bill is going directly to hardworking individuals instead of in the owner's pocket. On the contrary when I go out to eat, I am happy to see a kitchen appreciation fee rather than $38 entrees instead of $32 entrees because I understand the money is going to a good cause.

I think many people misunderstand how costly it is to run a restaurant - from increased rent to higher costs of the ingredients used to make the dishes you enjoy so much, the current economy makes it very difficult for restaurants to pay well, turn a profit, and ultimately survive. These reasons are why restaurants out of almost all types of businesses have the highest % of failing/closing down after being opened.