There's often been a saturated job market for vets following a drawdown from a conflict, especially as the military finds itself overmanned with personnel that were built-up from the needs of war, and now are no longer needed. Everything from early retirement options, voluntary separation, involuntary separation, then RIF, are all options that get put on the table. Look at post-Vietnam, post-Desert Storm, and we're seeing it now. Likely was the same post-WWII; definitely on the military side, but Im not sure on the civil job side.
Now today, and speaking specifically of the aviation sector, there has been all sorts of ups and downs; but the jobs are out there. Whether or not they're convenient in location, type, etc, is another thing; but I agree that the "mainstream" jobs have definitely been affected.