Surely the loss of these jobs isn't so much to do with pilot terms and conditions as poor commercial decisions made by the holiday group; in which case why do we always start beating each other up about relative efficiency and costs?
Also if the holiday group falls over (taking the airline with it) - no extra lift will be immediately required from other airlines without a new tour operator stepping (or growing) into the gap. There'll certainly be a whole load of airplanes sitting around waiting to be leased and crew sitting around ready to accept any new (part-year) contract.