Does doing laundry build any skills? Does anything happen if they don't do laundry?

It does not build any skills. As far as there being any benafit, well no one knows for sure. Some say it does not, some think it might. Personaly, I think it is a waste of time, but others will tell you it keeps them healthy.

I think I've noticed my computer smells a little better when I let them do their laundry

... And when my food bin is full, I get berries for lunch. ... Am I playing the game toooo much??????

Oh yeah when my flowers bloomed all the sudden everything in my living room smelled like fresh flowers until I realized its just my air freshener kicking in. HEHHEHE