The entire Veridian workforce is stuck working long hours to finish their sleep machine in time for an upcoming conference.  When Ted goes to deliver a cake to the hardest working employee, Jenkins, they find him lying dead on the floor.  During his funeral, Veronica uses Jenkins' death to inspire the other employees to work harder.  The drones begin to almost worship Jenkins as a Jesus-like entity and work harder than ever.

Ted, angry the company is manipulating its employees, attempts to stop Veronica, but fails.  He eventually makes a stand by walking out early.

Lem, meanwhile, is riding high off some new-found popularity when people discover he "knew" Jenkins.  By knew, we mean he spilled coffee on him and therefore spoke at his funeral.  Lem begins to tell his stories with Phil as if they were with Jenkins.  Realizing how much he's upsetting Phil, who's being left behind, he eventually comes clean.

Linda, meanwhile, spends the episode trying to live her day in the moment, including propositioning Ted for sex.

Better Off Ted
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Better Off Ted Season 2 Episode 6 Quotes

Ted: Morale does seem pretty low.
Linda: It's like that time they paid our holiday bonuses in frozen food.
Ted: Potpie Christmas. It did not help that they made them with real reindeer.

Lem: We did it, Ted. We now have a working prototype for the Veridian Sleep System.
Phil: All the hard work, late nights and no rest have paid off. We've cured sleeplessness and demonstrated irony.