It'd interesting that they have reached this state of degradation and I wonder what could have caused it.
Have you read the Songs of Return yet (http://imperial-library.info/content/songs-return)? Ysgramor was absolutely brutal to the Falmer, killing most and enslaving the rest. It's really no surprise, at least to me, that those who managed to survive the next 4000 years aren't too happy about random people barging in on their hiding places.
But on-topic, I wonder why they didn't call the Falmer, Rieklings instead? I wonder what the difference is?
Reiklings are wildly different in appearance than the Falmer of Skyrim. I'd say the whole Reiklings are Falmer theory is now quite disproven.
Skyrim DLC: An army of Left-handed Elves show up in a Dwemer submarine on a Maormer water-dragon.
Fixed.