The story begins several months after the original. With summer vacation approaching, Troy Bolton (Zac Efron) and the gang are on the lookout for jobs. Despite what the ending of the first film may have implied, Sharpay (Ashley Tisdale) still can't quite get over her love for Troy and her hatred for his girlfriend Gabriella (Vanessa Anne Hudgens).
She arranges for Troy to come work at the Lava Springs Country Club her family owns, but he accepts the job on the condition that the rest of his friends are hired also. Sharpay decides to get closer to Troy by dangling a basketball scholarship over his head by means of her connections, though only if he'll perform alongside her at the annual staff talent show. As Troy spends most of his time with either Sharpay or the people that can land him a scholarship, Gabriella and the others begin to feel left out. They try to cope by competing in the talent show themselves with the help of Sharpay's brother Ryan (Lucas Grabeel), which decidedly complicates Sharpay's plans.