After ripping into it, I've discovered the singular reason we have issues with the transmission in the first place. Design.
Our 5 speed is by all visible accounts a 6 speed with the input gears removed from the 2-3 dog and the output gear, simply removed from the output shaft. There is absolutely enough room to install the 6th gear on the output shaft. The removal was a marketing decision not an engineering decision, clearly, there is NO reason the Rocket has only 5 speeds other than Triumph wanted it to only have 5 speeds, likely because the competition in 2002/2003 were only 5 speeds.
Had triumph designed the transmission with 10 fixed gears which do not slide and simply used 3 dog rings instead of 2 dog rings and a 3rd/4th/5th dog ring hybrid the trans would be ridiculously simple and strong. Sadly, it appears they just grabbed an age old 6 speed design, scaled it up, and removed 6th gear. The draw back to the 10 fixed gear, 3 dog ring concept would be length. The shafts would need to be an inch or two longer to achieve it.
The biggest advantage to 5 fixed gears on the ouptut, means no circlips, it could be achieved without use of a single clip.
The triple dog ring input would still require circlips, 6 of them, however, all axial loading would essentially be eliminated and the design wouldn't apply force to the circlips.
I should add, every single recent transmission I've looked through in a bike, and I've looked at a lot of pics now, uses this "floating gear/dog ring" hybrid" design. It's **** imho and all bikes with it are flawed in my eyes.
Could have, should have, didn't...
Finally evidence of a failure, I was worried I’d get it open and everything would look healthy, these appear to be chunks of gear teeth: