Chicago city employees facing layoffs?

Mayor Daley is predicting tough financial times for the city in the coming year. He was recently asked about a report the city is likely facing layoffs because of a $400 million plus shortage in the 2009 city budget.

Daley declined to rule out layoffs of police and other municipal employees.

The mayor noted that the city -- unlike the federal government -- can't run up a deficit to fund programs.

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