What model of switch are you attempting this on?

The model is N2048P

I had a similar experience a while back and could not remember what the fix was.  However I do believe that this article helped me to achieve the console password:  

https://community.spiceworks.com/topic/276143-dell-powerconnect-management-vlan-and-console-security

In particular the line I was missing in my config was "aaa authentication login "defaultList" local"

This is the same line that the customer was missing from their configuration in the link above.  It forced the password when accessing through the console.

Hope this helps.

-B

Well thanks everyone. 

It is mostly good. 

username "admin" password 02f02a89155a401778594cd9707f83c0 privilege 15

aaa authentication login "defaultList" local line

These seem to work. 

There is one problem with this. The switch remembers where you are, so if Engineer A attaches via console and is in EXEC mode, then closes the session, and Engineer B attaches via console, Engineer B will be placed where Engineer A left off WITHOUT a password challenge. 

I cannot see where to set a session expiration for line console sessions.