More people are doing the FIC because there aren't the airline jobs available.
At the same time the economy is slowing faster than in the last recession.
Whilst there is plenty of anecdotal evidence that some school remain busy these have to be balanced by the schools that don't shout about the fact they are not opening on Wednesdays or have dropped the instructor pay rate. Flying schools are amongst the ultimate discretionary spend. In the last recession many went bust. They are not very profitable even in the good times..
Once the mass airline redundancies kick in you'll have a flood of ex-instructors returning to the market inbetween van driving.
WWW