Seeing the same issue here :p
Using the same setup here it seems, i.e. Eclipse with the newest cordova & phonegap. After refreshing the plugin Eclipse says 30 errors, 1 warning, 0 others. There is 1 warning and 1 error in AlarmReceiver.java, the rest of the errors are in LocalNotification.java. Followed the instructions from https://github.com/phonegap/phonegap-plugins/tree/master/Android/LocalNotification.
The "Problems" are:
Description Resource Path Location Type
The import com.phonegap.api cannot be resolved LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 12 Java Problem
The import com.phonegap.api cannot be resolved LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 13 Java Problem
ctx cannot be resolved or is not a field LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 35 Java Problem
The method execute(String, JSONArray, String) of type LocalNotification must override or implement a supertype method LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 34 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 34 Java Problem
Plugin cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 23 Java Problem
The method cancelAllNotifications() from the type LocalNotification refers to the missing type PluginResult LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 60 Java Problem
The method cancelNotification(String) from the type LocalNotification refers to the missing type PluginResult LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 57 Java Problem
The method add(boolean, String, String, String, String, Calendar) from the type LocalNotification refers to the missing type PluginResult LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 54 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 38 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 95 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 93 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 93 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 83 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 111 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 111 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 106 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 95 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 132 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 132 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 134 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 134 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 113 Java Problem
PluginResult cannot be resolved to a variable LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 113 Java Problem
PluginResult cannot be resolved to a type LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 120 Java Problem
ctx cannot be resolved or is not a field LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 128 Java Problem
ctx cannot be resolved or is not a field LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 151 Java Problem
ctx cannot be resolved or is not a field LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 167 Java Problem
ctx cannot be resolved or is not a field LocalNotification.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 180 Java Problem
The method setLatestEventInfo(Context, CharSequence, CharSequence, PendingIntent) from the type Notification is deprecated AlarmReceiver.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 77 Java Problem
R cannot be resolved to a variable AlarmReceiver.java / application_title_mobile/src/com/phonegap/plugin/localnotification line 72 Java Problem
EDIT: Just posted an issue on github: https://github.com/phonegap/phonegap-plugins/issues/1076