Cakes is a new mechanic for PFIW. This page tells of the rules and regulations for the mechanic.
Users that have not officially joined cannot receive or recommend cakes.
B-crats can give cakes at their heart's content, although the manager does have the power to override it.
Admins must ask the manager to grant a cake to someone.
All users below admins must ask to create a voting forum for it. If the majority votes yes, the cake goes to the person. If all admins vote no, it is completely overridden.
There is no specific rule stating what you get cakes for. If it's good enough that other people notice and ask to give you one, then it's worth a cake.
You cannot recommend yourself for a cake, nor give yourself a cake.
Any B-crat can add a cake to another B-crat.
If an admin wishes to give a cake to a B-crat, then another admin, or a B-crat besides the one who was considered for a cake must approve. Only B-crats, and admins can add cakes. Other users can recommend a cake, but an admin or B-crat must add it.
Cakes also are a factor in considering a user for a promotion. In fact, a user must have at least two cakes(after staff promotion) to become an admin.