Our XP team is distinctly low on developers at the moment. We're down to five from twelve earlier in the year. The backlog of stories is constantly growing as the team just doesn't have the bandwidth. The extra pressure may be partly responsible for pushing good people out of the company.
It seems that any team looses motivation without a transfusion of new blood, even though years of team experience should create a much more capable entity.
The remaining developers have all been with the company for 5+ years which creates a more cynical atmosphere than usual. New blood brings with it enthusiasm untainted by previous business mistakes, which blends well with experience gained by learning from those mistakes.
The small team size also means that we don't have variety of skills and enthusiasm. Specific jobs cannot be handled by people with a preference for that type of work, so boredom sets in.
The good news is that we're recruiting heavily now and will hopefully soon have some of the necessary claret. It's up to us to make the team successful again.