What I learned years ago plowing snow was that a pickup truck, LS or not, is way too light in the rear. When expecting snow I would load the rear of mine with something (a pallet of concrete), or even just load it down with snow for traction.
Was the rear end faulty? If you were on mostly ice, maybe not. The problem with ice is that if there is more traction on one wheel than the other and you hammer it you can exceed the breakaway torque of the LS and it "thinks" you are turning, so only one tire spins. This is why no serious off roader runs an LS: they are too unpredictable and will let you down when needed the most. In that environment a locker is a much better choice, selectable or otherwise. I know some guys that run mud bogs that run spools or welded rears.
Now, on the street I find in a car an LS is usually less objectionable than a locker, which tend to clunk and bang. I will say that the Traction Lock in the 8.8 was never a really great design. They had too little surface area IMO. They would wear out prematurely, or slip when you put real power in front of them. If someone was dead set on a LS I would advise them to get a Yukon. Much better than stock. However, IMO a True Trac is an excellent choice for the street. Nothing to wear out and they take plenty of power without complaint.