The500man is absolutely right - it is ALL about supply and demand. The only way to guarantee healthy T&C's for the future? Make pilots a rare (and expensive!) commodity.
How do we achieve this?
There would have to be regulation of the number of CPLs issued per year, regulations on the number of people who can even enter training and limits on the hours required to sit in the seats of large jets. That would be a start.
This would lead to a bidding war to get pilots into seats - and it would put a stop to contract workers, pay to fly, paid for TR's and all the s**t that has seeped into the system over the years.
Will any of this happen? Sadly, I don't think so. The reduction in numbers going through training over the last few years may help, but balancing this out is the fact that Europe is a mature market with very little expansion, and therefore very little need for the large numbers of new pilots that have been lining up to train. I suspect that these numbers will continue as people stumble blindly into training and ignoring advice from people who are inside the industry and can be brutal and honest - because, sadly, 'the dream' makes them willing to be somewhat foolish.