goodroi - 1:39 pm on Jan 26, 2013 (gmt 0)
IMHO directory level is not a main ranking factor so I would not rework old content. If you start moving around old content, you can introduce new issues that can cause ranking problems.
When I build new content, I prefer short and clean urls. I don't do this to make Google happy. I do this so my users can more easily remember urls. This helps to increase direct traffic and boosts url mentions on social sites which also drives traffic. Plus simpler urls are easier for webmasters to type into their code, making it easier for people to link to me.