I hate to say misery loves company... but... What you and are are experiencing seems to point out what John D, and others, are saying: we are reaping the fruit, even with physics majors, of a decline in general education system.
John D,
I'm going to try some complacency shaking, however it may take the form of an exam with low grades.
John C and Carl,
I understand what you are saying, however at this point those sort of techniques look to me like I am going to be working harder than the students. I might be more inclined to such if I saw some evidence that they are willing to put some effort into the course material.