Yep I'd still book with them.
I got back from hol with them yesterday and due to fly with them again in 9 weeks.
I worked in the industry for many years (though not for Thomas cook)
As mentioned upthread 99% of hotels aren't paid until guests depart or at end of season, it's standard policy and has been for years.
The situation at Las oranges is shit, but is an isolated incident which from speaking to friends still working for TC has now been resolved.
I switched to booking with TC a few years ago when Thomson dropped a hotel we wanted to return to and can honestly say for all but 1 holiday since they have offered far more competitive prices for the same hotels, facilities and dates than TUI (not to mention charging less for upgrades such as seats and additional luggage kgs)
Booking flights and accommodation separately is a travellers choice, but that isn't without risk too which I found when LCH went bust days before I was due to stay at a hotel I had booked through them.
As for slagging off TC for high prices in summer holidays /peak season, its a business model which is reflected across all holiday companies and as has been mentioned upthread is based on supply and demand, and the season - I for one don't want to fly to Turkey later than September, however the choice is there for those who do, to snap up a v cheap deal albeit with less facilities available to them, less nice weather etc etc.
FYI I have no affiliattion with TC and have never worked for them, but if things do go tits up this weekend or anytime soon I'll be thinking of those people in customer facing roles who will be out of work despite having no control over company decisions which have brought about this situation, and have continued to work their arses off whilst being interrogated by guests questions which they have no answers for in particular those working overseas who in the event of a collapse will potentially be stranded just like their guests.
Compared to what they will be dealing with, a loss of my winter break will be a minor annoyance.