I agree with you completely.
In addition to adding a proper ranking system, do you think it would be possible to make karma the way it was intended to be aka the way it was in GMod TTT? It used to start players off at 1000 karma, you would gain/lose karma for killing the right/wrong people, and every map change it would reset players back to 1000 karma. I've never been an advocate of permanent karma as I had a hunch it would turn into a way for people to stroke their e-peen.