I don't think there is any argument that the steady decline in basic flying skills is all too apparent these days. However, if I may offer a slightly different perspective, I find it less of a concern that too many pilots are reliant upon automation, than the fact that too many pilots relying on said automation do not fully understand the automation they are using. As has been mentioned elsewhere, the organisation I fly for does not encourage us to hand fly (with emphasis on the fact that we are discouraged, although not prohibited), and whilst occasionally there are opportunities to do so, I must confess to my own detriment that I don't take advantage of those opportunities as much as I used to. That said, automation mode awareness is just as critical as traditional "situational awareness," and failure to develop and maintain such skills can be just as dangerous as failure to maintain basic stick-&-rudder skills. The two go hand in hand, and both are vital parts of the equation to maintaining safety on the flight deck.