This will take a few lines. My sense is that there are three problems with this team, and they are not easily solved, and they are also kind of unrelated to each other. No, this is not about grit. That is the easy explanation.
Three things:
1) This team has an INCOME INEQUALITY problem, to put it in terms outside of sports. It's like a country where too much of the total income is made by a very small group at the top. I think -- no matter what -- this has to be an issue for the team. For one thing, Dubas has no room to move to make anything better, not even a better backup goalie. For another, I don't care what anyone says, if I am making 2 million, while others make 11, and I know the Leafs can't give me any more no matter how well I play --- where is the incentive here? How can there NOT be resentment? How can this be a comfortable room?
2) This team has a CHARACTER problem. I am disappointed in every one of the three young turks here. First Nylander -- at least I knew he was going to brutally selfish, self-destructively so. It was obvious all along. But I didn't expect him to be stupid, holding out to the point where his own game and future value suffered. Then there is Matthews. Sorry, everyone, this incident in the summer is NOT a small deal. Please don't tell me that "we all do stupid things at 22." No, we don't. How many of you were pulling your pants down in front of women at 22? 10%? even 20% More like 5% I would guess. And then we learn it is a black woman, which introduces a racial tinge to this that is uncomfortable, and then his friend says he is "doing this all up and down Scottsdale Avenue." Just pay attention to that. It leaves me with a lot of questions about his leadership. Basically, the whole thing seemed creepy. Finally Marner: Mitch the kid, where did you go? Who led you down this path where you end up making 2 million more than you are worth? And It seems obvious he is spooked by this contract. His contract is an embarrassment next to other RFAs who are as good or better. So what does the team do? Make him and Matthews Assistant Captains. This makes no sense. Poor judgment. If the leaders on your team are this selfish and this immature, it's not good for the team. My advice to Marner: tear up your contract and sign for less. Best move you ever made.
3) This team has a COACHING problem. I don't even think Babcock likes this team. His comments are getting increasingly aggressive about what is missing -- all shots at Dubas, basically. He can't keep doing this. He is rigid about his way, but he is also not good with this millennial generation of hockey player. He has to go...
So the only thing you can do now is fire the coach. And yet, I don't think that will help either. Playoffs? I can't see it.