Have you noticed customer service taking a nosedive in this new economy?

I was on the phone with my insurance company for the better part of 2 hours and when I finally got to speak to someone, I was told the IVR sent me to the wrong person! I was livid!
I'd be willing to get a poorer plan with a poorer company if they'd have better customer service, but what if there's no such thing? I've noticed that PetSmart's and 2 different banks' customer service has been staggeringly incompetent! What's your experience been?