Contract agencies
Contract agencies is where, IMHO, the real money will be made in the future of aviation. (and with real money being made, I mean that the people running the agency will be raking it in, not the pilots)
Before people start saying "but Doug, employing contractors is way too expensive for low-cost airlines," think again.
At the present rates, contractors offer an expensive form of flexibility, a luxury so to speak. However, with the advent of all sorts of pay to fly/pay for type rating/what-have-ya schemes, the market is already being flooded with rated and experienced pilots, especially A320 and B737 pilots, which will significantly lower rates.
It's my guess that in the near future, the total costs for a low-cost airline to employ a contractor will be very similar to the cost of employing this pilot on a regular contract because of this oversupply of pilots.
Benefits for these low-cost (!) airlines are obvious;
1) no more headaches/problems with unions
2) flexibility: no work/ash-clouds/recessions = no fixed costs for the airlines
3) outsourcing the HR department to contract agencies
4) allowing strict quality control with no financial risks to either the airlines or the contract agency. After a rigorous selection, the pilot pays for the training and should he/she under-perform during line training, the airlines get a free refund/substitute from the contract agency
Advantages for pilots: NONE whatsoever!
You'll be responsible for medicals, sim checks, medical coverage, loss of license insurance etc etc and when a bigger ash-cloud hits Europe it's up to you to figure out where you're going to get the money from in order to pay your next mortgage. That is, if you can still afford a mortgage from the measly and uncertain income you receive from the contract agencies...
With the exception of a higher salary, you'll have the same working conditions than that of a person employed by a temping agency who works on an assembly line or cleans toilets.