The American Dialect Society's word of the year for 2008 is "bailout," defined as "the rescue by the government of companies on the brink of failure, including large players in the banking industry."
My favorite entry is the winner of the Most Creative category: "recombobulation area," defined as "an area at Mitchell International Airport in Milwaukee in which passengers that have just passed through security screening can get their clothes and belongings back in order." (I adore the term "discombobulated.")
The weirdest entry was "thought showers," which had a decent showing in the Most Euphemistic category. It's listed as "coined by a British city council because the synonym 'brainstorming' was said to be offensive to epileptics."
My prediction for 2009? I suspect "sustainable" (gack) will have a strong showing.