I don't think it's "less than mediocre" at all. Except for the injuries/inactivity of certain workers, the roster is at a pretty good level right now. And ECW is providing us with fresh talent and new stars. A few guys who show promise are Jack Swagger (Jake Hager), Evan Bourne (Matt Sydal) and Ted DiBiase Jr. These guys all have supreme skills in their own way and could be future players.
The actual impact and level of competition FCW workers getting called up have displayed has been inconsistent. DH Smith failed, Drew McIntyre failed and some newer guys like Ryan Braddock and Gavin Spears aren't going anywhere. So as of right now, no FCW worker who's been called up in recent memory has that complete IT factor, or at least has not had the chance to display it yet. But the guys I mentioned before have the skills required to be huge stars, they just need the right pushes and the right gimmicks.