Removing stagger escape isn't a step forwards because it was another defensive option in a already super guess heavy game. Without it you're only option is to hold or simply fall over hoping that your opponent doesn't launch you. Some people didn't do it sure, but for those who did it showed, and break hold isn't a good excuse to remove stagger escape.
I wouldnt say its a step backwards or forwards, its more of a sidestep. They remove SE and the tradeoff is stun has been reduced across the board. It's definetly different, but i wouldn't say it's an improvement. I dunno, maybe im just salty that 15 years of muscle memory just went down the drain lol
I hated stagger escape. It was indeed just mashing on the stick. It was bad for my controllers. I don't really know anyone else that wanted to it return. Reduced stuns make things better and break holds are easier defensive options.