Yes the coat still needs work, but it is improving. Multigens have far fewer hair (shedding) coats than first cross of labrador and poodle. I have been told that first cross, and yes I agree that it is a cross at that stage not a labradoodle, has only 25% chance of having a non/low-shedding coat. This is why so many people who buy from puppy mills and BYB end up disappointed with the coat.
Do I think the Labradoodle breeders will succeed in registering the breed. I am not sure, the pessimist in me says that all the unethical breeders of first crosses labelled as Labradoodles will cause problems and hinder the process. At the same time I feel that achieving registration might just make it harder for the puppy mills and BYBs to sell first crosses as Labradoodles.
Check out the ALA website if you want to know more about this "breed in development" Australian Labradoodle Association