Designing Better Libraries has a great article about the value of User Experience in tough economic times.

The takeaways:

• First, while it may be necessary to scale back on an ambitious UX plan during a recession, there's no reason not to expand efforts to enhance the personalization of services; this may be the best time to connect with customers.
• Bad customer experiences actually end up costing the organization more because they waste time and require extra work to make up for foul-ups and problems.
• User experiences and the design of them is a low-tech proposition.

Heads up to Putting People First for finding the article.