Deprioritise people at your peril
I was speaking with a friend and former colleague today, and we found ourselves reflecting on something we’ve both watched play out across multiple economic cycles.
Different organisations. Different sectors. Different leadership teams. Same pattern.
When pressure rises and budgets tighten, the first thing many organisations do is start looking for savings in and around their people.
Training budgets disappear. Development gets postponed. Headcount is frozen or reduced. Teams are asked to do more with less. Sorry, they now say "less with less".
And somehow, all of this is framed as prudent leadership. At one point in the conversation, she said:
“Deprioritise people at your peril.”
I immediately replied: “That’s it. That's the topic of my blog tonight.” Because she’s right.
The short-term thinking trap
Now, I get it. Markets shift, revenue drops, funding tightens. Boards and executives start asking hard questions. And yes, something has to give.
But what continues to baffle me is how often organisations cut the very thing most likely to help them navigate difficult conditions well. Because when times are tough, what do organisations need more of?
Better thinking.
Stronger leadership.
More innovation.
Greater ownership.
Higher adaptability.
Smarter execution.
And where does all of that come from?
People.
Not systems. Not strategy decks. Not slogans on office walls.
People.
Keeping people is not the same as supporting them
Some organisations pride themselves on not making redundancies during difficult periods.
And while that matters, let’s not confuse retention with support. Keeping people employed while:
freezing development budgets
increasing workloads
delaying progression
offering little clarity, and
expecting gratitude for “surviving the cuts”
…is not people-first leadership. It is extraction.
You may be retaining bodies. But you are depleting capability - and more.
Your people are your only appreciating asset
Technology becomes outdated, infrastructure deteriorates, systems require replacement.
But people? People compound.
When invested in well, they become:
more capable
more strategic
more efficient
more confident
more loyal
more valuable over time.
Yet somehow, development is still treated as discretionary. A “nice to have.” Something to revisit when things improve.
That thinking is precisely backwards. The moment pressure rises is the moment capable people matter most.
Shared responsibility
That said, investing in people is not solely an organisational responsibility. Development is a shared responsibility across the system.
Decision-makers
Before reducing investment in people, ask:
What long-term impact will this decision have?
What capability gaps might this create later?
What evidence supports the cuts being made?
What personal sacrifices have been made at the top before asking others to absorb the cost?
Leaders
Ask yourself:
How intentionally are you developing your people?
What succession risks are you ignoring?
Where are you advocating for your team’s growth?
Are you merely managing output… or building capability?
Individuals
And for those being led:
When was the last time you advocated for your own development?
What growth opportunities have you asked for?
How well do you understand your own strengths, value and areas for growth?
Are you waiting to be developed… or taking ownership of your evolution?
Because while organisations should invest in people, individuals must also be willing to invest in themselves.
Final thought
If people truly are your greatest asset, then here are some uncomfortable questions worth asking:
What does your budget say about how much you believe that?
What development are you postponing in the name of pressure?
Where are you extracting from people more than you are investing in them?
And if you are an individual - when did you last advocate for your own growth?
Because capability does not build itself.
It is developed intentionally… or depleted quietly.
Deprioritise people at your peril.
And if growth is the goal - for your organisation, your team or yourself - perhaps your Next Step is to treat development like the necessity it actually is.
