In general I am not in favor of this movie being remade, but if a remake is in the works I think Tim Burton is the ideal director to do it. He has such a vivid imagination, and he could put his own whole twist on the story that us fans of the original might love. Edward Scissorhands was genius.
I agree that casting is key -- especially with the kids. The whole reason the original child actor playing Charlie was so effective was that he was sympathetic but not too "cutesy" in that annoying Olson twins way. Ditto for the other kids, they were so charasmatic and totally rotten to the core.