Season synopsis
Contains spoilers for this season and earlier seasons.
At Dunder Mifflin’s Scranton branch, manager Michael Scott hears that corporate may cut jobs and tries to keep the staff cheerful without telling them how little he knows. Dwight Schrute quietly seeks an alliance with Jim, who turns the offer into another prank. When Michael has to choose a cheaper health plan, he hands the task to Dwight; the workers complain about the poor coverage, and Michael hides in his office. Jim and receptionist Pam watch these performances from the desks they share across the aisle, while Pam’s engagement to warehouse worker Roy keeps Jim’s feelings unspoken.
Michael makes Diversity Day worse by imitating an offensive comedy routine, then running his own clumsy follow-up after corporate sends a trainer. Jim loses a major commission when Dwight interrupts his sales call. The warehouse basketball game gives Michael another chance to win the staff's approval, but he lets his handpicked team bet their Saturday work before the game gets underway.
When handbag seller Katy visits, Michael bends his rule against vendors and lets her sell at the office. Jim persuades Dwight to buy a purse, but Katy rejects Dwight's invitation to a date. Michael offers her a ride home, only for Jim to drive her instead. They agree to get a drink, and Pam realizes Jim's claim that he and Katy are going out was serious.