Yep, that's typical for a post wwII house. Anything that is peeling, yes you need to scrape it off. Use a stiff putty knife and chip away at it until it no longer chips off.
If you are concerned about lead paint in your home during your rennovation, see
this site.
I would probably prime the slick oil based paint with an oil based primer like Kilz original. It will leave a flat finish that your joint compound will stick better to. You could also use Gardz, but it is kind of a pain to work with because it's so runny.
Then you can prime over your drywall repairs again with most any kind of primer before you paint. You do that so that the sheen of your topcoat isnt affected.