Captain Peacock is called to Mr Rumbold's office, where he is told that Rumbold is attending a management conference for a month in Swansea. Instead of Peacock, Mr Grainger, the ageing and kindly head of men's wear is to replace him. Rumbold assures the aggrieved Peacock that this is just to supplement Grainger's pension and that there is absolutely nothing to do in the role.
The staff are summoned to an announcement on the shop floor, only for Grainger to be found asleep behind his counter. He is, however, delighted at his new status. Expecting a friendly response from the normally kindly Grainger, Captain Peacock and Mrs Slocombe apply for time off, only to find Grainger transformed into a ruthless, self-serving martinet. He sacks Mrs Slocombe and threatens reprisals for lateness, reporting Peacock the next day.
Rumbold unexpectedly returns, taking his position back. His colleagues stamp on Grainger's cigar and executive bowler and send him to Coventry in revenge for his ill-treatment. He becomes remorseful and claims to be broken-hearted. Feeling guilty, the staff go to make peace only to find Rumbold has returned to his conference. Grainger orders them to his office but then tells them it is just to offer them a drink.