The level of navigation skills that you will need as a hiker will vary with the complexity of the walks that you do. If you never leave well marked trails the skill requirement you need, may, but not necessarily, be minimal. The advent of mobile phone apps, as well as the availability of high quality consumer level GPS including some watches has changed hiking forever. Gone are the days when you had no choice but to use a map and compass however having a good grounding in their use should be something we all aspire to.
This podcast episode provides a basic overview of map and compass use that will hopefully add your you kill level as a hiker and inspire you to learn more. To get the most out of this podcast follow along with the written version which has the related images.