I have set up Google Reader with 5 feeds. I like the fact that I don't have to go to each web site to read the new stuff, but I don't like the long list of things I now feel obligated to read. I can't even keep up with my email most of the time, and this is just more stuff! I do not currently spend time checking lots of webpages, so this service is adding to my workload, not decreasing it. It also took me a long time to find 5 blogs I thought I might want to read regularly, as I am currently a person who reads zero blogs.
I do like the headline news feeds I have on iGoogle, though, since they allow me to "scan the headlines" and only click if I am interested in details about a certain story. That keeps me somewhat updated and saves me time. I don't really see this being an advantage at work however. The one blog I can see myself checking at work was a library humor blog I found (Love the Liberry). I can frequently use a laugh at work! As far as using RSS feeds with kids or teachers, I can see setting up some of the automatic searches to send you updates on particular topics that a class is discussing. There is so much teachers can do with current events that could be facilitated this way.