Hunter shows Michael and Toby into a conference room with Jan, and the second he's gone, Michael acts like a jealous child over Hunter, comparing him to James Van Der Beek as some kind of paragon of male pulchritude (which, see previous, in which Hunter is described as "cute") and, as always, gratuitously saying the word "lovers." "Hi...Jan," Toby practically moans. Jan lays down a ground rule for this negotiation: her and Michael's personal relationship has to be set aside. Michael agrees, but the second Jan floats an offer of 6%, Michael plays the relationship card. "You give me a good raise or no more sex," he threatens. Toby quietly looks forward to the legal ground this case is going to break, "when it inevitably goes to trial."
At a diner, Roy apologizes to Pam. He just thought that Jim and Pam were really good friends, or maybe that Jim was gay. "Not that that's wrong," he adds hurriedly to the camera. Pam apologizes to Roy in return, to his confusion, and admits that both she and Roy made bad choices. Roy can't believe that Pam isn't going to try to start dating Jim, Karen or no, after breaking up their wedding over him. "I don't get you, Pam," he says, summing up their entire relationship all the way back to the time a breakup song became "theirs."
Dwight returns to his desk to find a laser-printed "certificate of bravery" from the Scranton Police Department. Jim fakes ignorance, until Dwight says that they give them out to little kids. He even shows Jim the little teddy bear in the police cap in the corner. "Didn't think you'd notice," Jim mumbles.
Michael is still bitching to Jan, who suggests a break. Only Toby takes one, and quite readily. Once they're alone, Michael admits to Jan all the things that have been bothering him today: the accidental cross-dressing (why not stop at home and change?), Darryl's teasing, the long ride with Toby, Jan's new assistant. Jan says that she can offer Michael a 12% raise, but only if Michael asks for 15. Michael doesn't get it; he's embarrassed to even think about asking for 15%. But Jan hints that it's just de rigueur gamesmanship, so he goes along and asks for 15. And then gets grumpy when Jan comes back with 12. That's not bad. I don't think I've ever gotten a 12% raise without either changing employers or insisting on being paid in Euros.