Absolutely not. You don't want to go overboard though (it's called "div soup" when you do). If you find that a div has no purpose but to hold a background image, or to clear a float, etc that means you've done something wrong. By using wrappers (e.g. 3 levels deep of div tags for a content area that has some backgrounds, etc is OK), you can properly achieve any layout that you need without resorting to "div soup". Take a look at http://www.digitalperfections.net/ for an example of good (x)HTML with a lot of div tags.
To further expand, and answer the question about your code specifically, I noticed one thing right off the bat: <div id="divider"></div>
- this is bad because you're using this div purely for non-semantic purposes (for decoration only).