Or is he just giving up outs if he doesn't take those walks?
No question he needs to find his stroke though, and some have argued SLG is actually slightly undervalued than it previously was, since the game is all power.
Do strikeouts really correlate with LOB? I mean, they do for a pitcher, but since we're just spitballing here, I would think that fly balls, pop-ups and double-plays balance out any benefit you might get from singles and errors (while the doubles and HRs high-strikeout teams are trying to hit are obviously most valuable, and generally clear the bases).
Also, getting men on base correlates with leaving men on base, and strikeouts correlate with walks. RISP almost always sorts itself out (plus I think "scoring position" includes home plate and 1B these days).