Mitchell and Cameron disagree about Lily starring in a commercial this week, but the latter takes her there anyway. However, he soon realizes that his partner was right all along, as the shoot is rather racist and just exploits Lily for being Asian.

Cam steps in and yanks her from it.

Elsewhere:

- Jay fires a worker because he allowed Manny to drive a forklift, which led to a crash. Manny, though, wants this man re-hired and gives Jay the silent treatment, even as his step-dad struggles to think of the reason why Gloria thinks it's a special occasion.

Near the end of the episode, Jay explains that he won't ever hire the worker back because no one endangers his kid. Manny realizes this is the first time Jay has ever referred to him as that and gives in, telling Jay that it's the anniversary of his first kiss with Gloria and also telling him where to go to meet her to celebrate it.

- Claire and Haley are sick in bed together, an occasion the former uses to try and convince the latter that Dylan is no good for her. But Haley thinks her mom is complaining about her dad instead. It's a funny mix-up. Throughout the half hour, meanwhile, Phil is dealing with the fact that his business isn't going to well. People aren't buying homes these days.

His mood grows a bit dark as he tries to find the smoke detector that won't stop chirping, only for Claire to eventually tell him everything will be okay and it's alright to tell her about the bad stuff in his life sometimes. Very sweet moment.