This comes back to definitions again, I think.
Part of the premise was that good represents "altruism, respect for life, and a concern for the dignity of sentient beings."
I think implicit in that formulation is that individuals aren't compelled do things they don't want to do for the sake of being Good (beyond a 'do no harm' sort of obligation). To me that would be failing to treat others with dignity, or a society failing to treat its members with dignity.
If the concern is rather that, in an all Good world, all people would want to do Good all the time and that this represents some loss of freedom, I respectfully disagree. That seems to me to be well in line with dignity, autonomy, and free will.