Yes, Democrats do it. Considering that Republicans do it a LOT more, they would be stupid not to in the few states where they can. It would be far better if all states went to non-partisan commissions to draw minimally-convoluted districts. There are some very good computer programs that do this, while still respecting communities, etc. Ideally, every state would have a party split of representatives that reflected the voter split.
This is old, but still pretty nice: Busting the both sides do it myth