It's not a deal-breaker or anything but it can be annoying as hell, as you can see for yourself in the video above.
I had the same headache when I trialled an N82 last spring, and just as I preferred the dual-sliding, manually-screen-rotating N95 to that, I think I'd ultimately prefer the dual-sliding N86 to this.
It all depends on when a Rogers and Fido-friendly N900 is announced, I guess...