An employee approached Brett with a salary request. The employee was willing to work for $3 less an hour if Brett would pay the salary 'under the table'. The employee's spouse had a good job and the salary the employee was getting would put the family into a new income tax bracket. The employee was a good employee and would have to quit if Brett did not oblige. Brett saw the savings opportunity but said he'd have to talk to his advisor.

You are Brett's business advisor. Discuss the significant issues involved in the employee's salary request. What would you advise Brett to do?