Even Warren Buffett is cutting jobs

Even Warren Buffett can't escape the ravages of the economy. Last year, his Berkshire Hathaway Inc. (BRK-A) conglomerate posted its worst-ever financial results. He rocked the financial markets yesterday with comments that the economy this year would be a "shambles." So it should come as no surprise that his companies will be laying people off.

According to Bloomberg News, Berkshire cut 16 percent of the workforce of manufactured housing builder Clayton Homes Inc., while Shaw Industries, the largest U.S. carpet-maker, slashed 6.2 percent of its staff. All told, about 80 Berkshire units have cut jobs, including the maker of Benjamin Moore paint and recreational vehicle maker Forest River Inc. The company does not expect the economy to show improvement until 2010. Berkshire's holdings employ more than 246,000.