Forty full-time and temporary Lawrence city employees were handed pink slips recently in the city's effort to close a $2.3 million deficit. The city's Department of Public Works was the hardest hit, losing 20 employees. The city also laid-off all 10 employees in the city's water treatment plant. The city also laid off seven employees in the library department and a city nurse. In all, Lawrence has about 1,000 workers and 2,000 school employees.