Henry was working in Behavior Lab on a nude male host. While working, he had covered the host with a blanket, presumably to cover it's "modisty". Dr. Robert Ford, his superior, arrives and comments about this. Without giving Henry a chance to reply, Ford explained that hosts don't feel cold or ashamed, but only what they technicians tell them. Henry remained silent through the scene and reutnred to work after Ford turned to Bernard Lowe.
Henry respects Robert Ford, referring to him as "sir". As Ford lectures him, he doesn't reply, most likely due to fear, respect and the fact that Ford is his superior.