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If you didn't have a contract

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What possible problems could you possibly encounter if you're already working for a company for 3 months already and still you don't have a contract? The company is making a lot of promises but they've already broken some of it like an increase after 3 months(wasn't granted). I also suffer from an environment where most people smoke in a closed room, while I do not... Before I was only handling a single project but it looks like I'll be handling more of it(there's two already). I'm into web based programming but my boss makes me do the design(graphics), the site maintenance, the database administration and system administration all at once. I just transferred from another company so I'm kinda anxious that I'll have to move again... But in your opinion, am I in a deeper problem than I could imagine?
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The problsm you encounter really depend on where you're working. As people are smoking in a closed room, I imagine you're not in the US, snce I think most states prohibit smoking in the workplace.

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