Although the airport authority has gotten rid of many porters etc, companies like Servisair and Groundstar are recruiting heavily for the start of the summer season.
Personally, I think BA pulling out will be a great thing for the northeast in the long run. I can see Flybe (and EZY) expanding in the near future.
As for the charters, there's not really that much more capacity than there has been in recent years. There has been a gap ever since AMM removed their based unit a few years ago, MYT has reduced from a 757 to 321 and although JMC are basing a 757 its not operating as many flights as last season, so i'm not surprised BAL have taken the steps they have.
I imagine it will be chaos airside this summer with the common departure lounge for domestic and international departures. What with the "comprehensive and exciting range of airside retailing and catering facilities" that they are building not being available until Summer 2004 and all.