Skraling may be an anglicized form. I did an Internet search using "eric the red Skralings" and the first 5 or so results were Skraling.
I checked an online icelandic dictionary at:
http://www.zece.com/icelandic/?a=sh&le=s Gives the definition as:
skrælingi n. m. barbarian, eskimo (-ja, -jar)
Note that in Icelandic and old english AE is a single letter, Ash. We would probly translate at the letter A.
Since the the modern Icelandic definition comes 10 centuries later, I checked several on-line English Norse dictionary. the only entry I found gave "Armr" (Cf German arme, poor, wretched).
I suspect that the definition "wretch" was one I learned from reading the introduction to a translated saga. (probably published by Penguin.) I would keep keep searching for the on-line Norse but I already see that I have spent too much time on this little search.