At the Sleep-Tite Pajama Factory, tension builds as workers demand a salary increase. New superintendent Sid Sorokin arrives, determined to improve productivity. He soon finds himself in a tricky situation as he falls for the fiery union representative Babe Williams, who leads the charge for higher wages. As they struggle to balance their burgeoning romance with opposing expectations, Sid and Babe navigate labor disputes rife with mistrust and contentious negotiations, complicated by looming strikes and steadfast workers.

Amidst the escalating conflict, factory employees find solace in lighthearted moments, from the humorous antics of the time-study man Hines to lively choreographed sequences reflecting their camaraderie. The plot further develops through a series of musical numbers that offset the rising tension, showcasing the workers' spirit and determination. As the negotiations reach a critical juncture, the challenges they face put both personal and professional relationships to the ultimate test. How Sid and Babe address these obstacles leads to unexpected developments, revealing much about loyalty, compromise, and integrity.