I'm one of these "snotty, bratty, no respect for authority" gen y'ers that seem to have had the brush painted on me and let me say I agree with you... to a point.
Look around and you will see a lot of unmotivated, dependant, "entitled" individuals out there in society. Were there not these kinds of people 20, 40, 400 years ago? Unfortunate to use this as a reference, but wasn't Adolf Hitler, one of the most powerful men in history, an unmotivated art school drop out on the streets of Vienna?
For every vagrant in a generation there are at least 4000 who have some measure of sucess, be that a job, are in school, or have obtained a degree. Out of my graduating class in 2006 there were only 4 people who did not receive their diplomas, and only 10 who were not taking some form of post secondary. 3 of us joined the CF. So 11 out of a graduating class of 84 had no direction outside of highschool. I'm not good with percentages, but thats a relatively small percentage.
As for the "they don't listen, they're unmotivated, they need constant direction, they have no respect" issue, name a group of fresh recruits in any industry at any point in history that came premolded? Experience and age have a way of making some person forget what it is to be brand spanking new and not have the damnedest idea about lessons learned. Mainly because we weren't there to learn the lesson. Teach the lesson and we might be a little drier behind the ears for it.
Whatever the case, I'm a Gen Yer by label, but a soldier none the less. I still get up every morning and shave, do my job well, and go home and have a beer after work. I'm sure many many generations after me will be following the same routine.