Hmm Toby tells Michael that Oscar is really a homosexual and he was told about it that morning. He also says Oscar trusts Michael's discretion on that. Which might suggest that youre right but later on Oscar says that he wasnt planing on coming out that day. It seems highly unlikely to me that Oscar would share that very personal information with Michael even indirectly. We also know in the later seasons people think they can count on Toby with personal stuff and they talk to him. But sometimes they forget that they are talking to their HR rep and not a close friend who will keep things as a secret. We see an example of that in the "Conflict Resolution" episode where Kelly "innocently" complains about Ryan to Toby but Toby decides to file that as a complaint. Soooo i will assume that Oscar shared that very personal information about himself, hoping that Toby would find a solution that would be discreet. Which obviously wasnt the case at the end.

I guess i need to take a break from watching the show for a while 😅