I think its good that the raid loot mechanic encourages you to get the full 12 players.
The more players who get to experience raids, the longer the game remains viable.
Otherwise, you're back to where things were before - few if any raid PUGs, and no way to Raid unless you're in a Raiding Guild.
The new loot mechanic has IMO gone far towards improving this game for the masses. And the uber elites - you can still run it short manned, since you're not likely to get the PUGger to trade you their loot regardless.