A few weeks ago, MacMillan CEO John Sargent sent out a memo to the publisher's employees saying, basically, "no raises for anyone this year—but Merry Christmas!" Now, they're laying people off as we speak. (But Merry Christmas!) It's 4% of the company, including imprints such as Farrar, Strauss & Giroux and the children's division; the the Publishers Weekly says it's 64 people.
Our fave part of the memo was after Sargent announced the cuts, which would "sadly also include the elimination of some positions as we streamline our operations." He then signed off " I look forward to working with you all in 2009." Addendum from us: "Well, not all y'all."