Great example of a graceful <noscript> handling
notwerk.com
notwerk.com
Graceful degradation would be to work as best as possible without Javascript - even if it means having to create a whole new design that's JS free.
Redoing the site to cater to a NoScript crowd is an extra expense with unclear benefits that is rather hard to justify in many situations.
Mind you, I understand that making a website accessible is not a trivial task and that the expense may indeed be hard to justify for a given project; but the benefits are anything but unclear.
It may be different for me since I've been deploying JS/AJAX on a number of eCommerce sites where you really don't want to lose even a single customer, I suppose. The basic site is designed without any JS, then if we're able to load JQuery and the browser meets our requirements (for instance, we just disable JS on any IE6 or below browsers), it'll load up nice features such as JS presentational effects, AJAX form submission, etc.
EDIT: There's isn't a "budget" for this, it's really minimal extra work.
I also suspect that those with JS intentionally disabled don't really add much to the conversion rates even if they are treated nicely. Just look at the replies in this thread - a sense of entitlement to be spoon fed in the format they fancy is frankly disturbing. I wonder if showing them just a blank page would work better.
EDIT: Oh, they actually do.