Don't see how Radiant story could possibly work if there was not level scaling.
Dragons could not possibly work if there was not level scaling.
I still see progression, I can 1 hit a lot of animals and things now. Also my skills/spells/abilities and in-game know how progress so enemies the same level as me get easier as I level up.
At level 24 I have rolled through a few dungeons/forts facing mostly weak enemies. And I've also had a couple of dungeons that seriously kicked my [censored] and I really had to plan out and strategise and reload a tonne to complete. If I find a dungeon that is obviously too higher level for me, I feel compelled to complete it anyway.
But most dungeons are fun and challenging with a mixture of mobs 10 levels above or below me. Some dungeons have fewer monsters that are higher level, some have lower level monsters but much more of them, most have a mixture.
I think Skyrim has a fantastic system, vast improvement over Morrowind which had too little level scaling resulting in a very dull game after awhile and Oblivion that had a little too much level scaling.
Also Skyrim is the most immersive game I have ever played. I don't consider classic "RPG" dungeon and dragons mechanics to really have anything to do with immersion or RP.

