From: Southern California
I think retreat losses are too high, Pelton, not too low. For both sides. But the Soviets are in a much better position to absorb them thanks to their replacements. The Germans, on the other hand, can be grinded down to a nub with lots of retreats. It is part of the reason, I believe, that late war Germans are having such difficulties with armaments, too. All these retreats are seriously stressing the armament pool, more so than even manpower.
I think German morale is fine. (I'm beginning to hate this word morale. It's proficiency, goddamit. This evil word is causing no end of troubles and confusing players. It needs to go away. I hope it does so in WitW.) Soviet "morale" is both too low and too high. It is too low in 42, and too high in 44. The base NM of 60 in 1944 isn't that high in of itself, but in practice that figure is nominal at best. A huge chunk of the Red Army, perhaps a majority of it, will be getting bonuses of one kind or another, so the actual proficiency is much higher than the nominal one, even on average, and in certain cases much higher. You can stack certain bonuses and get very high values indeed.
In 42, OTOH, those bonuses aren't quite so widespread, and the vast majority of the Red Army will be operating at the NM norm, which at 40 is ridiculously low. It's a struggle to keep units from lapsing into unready status at that level on static fronts, due to attrition losses. That's how bad it is.
WitE Alpha Tester