"I'm just not good at firing somebody," Lohan exclaims, before doing just that.
The hour ended with Linds finally giving one of her summer recruits the axe, while setting the stage for what should be an explosive confrontation with at least one other employee as well.
Let's jump right to the good stuff: who got fired?
That would be May, the doe-eyed server who just couldn't seem to fit in with anyone else or do anything right.
She, Jules and Gabi were already on Panos' s--t list, before he basically gave them one final shot to prove themselves with some VIP clients. While Gabi did well, the other two did not.
The entire group was then tasked with going out in Mykonos at night to promote Lohan's brand. They didn't. Instead of networking, they all decided to just throw back some drinks at a nearby bar. Naturally, Lindsay just happened to run into them slacking off.
Confronting the gang, she really zoned in on May, telling the girl she looked tired. "Guess what? We don't get to be tired," Lohan said, adding, "That's not gonna help" when May held up her drink. Strike two.
The final strike came the next day, when, instead of paying attention to their cabana, Jules and May tried recruiting new club-goers from the next beach over. They were MIA when their actual clients showed up, causing Panos to tell Lindsay it was time to make a decision.
"They're pissing me off at the moment," he told her, "We need to get rid of one person right now."
That person was May. After saying in a confessional that she's "just not good at firing somebody, it's just not my thing," viewers watched Lohan give May the boot.
"I have a brand and a business and kind of being lazy and just chilling and not creating a story for people that come to Lohan and giving them a real experience of being here is really hard for me to find in you," Lohan confusingly explained.
Panos added that May was "not getting it" and called her "the weakest link" in the team. "Just so you know," he said, rubbing salt in the wound, "You don't stand out."
"I don't think it's working for the brand and I'm sorry, I'm going to have to let you go," Lohan then said. "I want you to really focus on yourself when you go back home and take care of what you want out of life."
And that was that ... or was it? The trailer for next week's episode included May exclaiming "I'm so confused," while the sneak peek at the second half of the season still had plenty of May in it ... and no Jules.
Those two weren't the only ones having an issue with their bosses though, as newcomer Kailah Casillas was clearly frustrated with the communication (or lack thereof) from Lindsay and Panos.
"Lindsay runs up yelling at people and it's super awkward and I'm just really confused about what we're supposed to be doing in order to get rewarded around here," Kailah said in a confessional after Lindsay confronted them on their night out. She later said the incident sent her anxiety "through the roof," before airing her grievances with Panos.
Asking for better clarification about their jobs, she pleaded for better communication ... but Panos, naturally, wasn't really hearing it. Judging by the trailer for next week, things between Kailah and Lindsay will soon come to a head ... and we can't wait.
Elsewhere, Lindsay freed a lobster from her own beach house, because why not ... while Alex took Aristotle and Gabi to meet his conservative Greek grandmother, who's not exactly on board with him being gay.
"Lindsay Lohan's Beach Club" airs Monday on MTV.