A survey of Australian Services Union members at the major carrier showed nearly one in two were struggling to buy Christmas presents this year.
One in nine were behind on rent or mortgage payments, one in five were skipping meals to save money and four in five were delaying doctor's visits.
The union's assistant national secretary, Emeline Gaske, said the situation for members was "pretty dire" after they made sacrifices for the company during its financial woes in 2019.
"Workers bent over backwards to keep costs down and accepted an effective pay cut," Ms Gaske said.
"Now we're on the other side of the crisis and the airline is refusing to discuss any kind of pay rise."
Workers were paid one-off bonuses in July and December as the airline negotiates with the union.
"We understand the challenges faced by our people due to the current economic conditions," a Virgin spokeswoman said.
Ms Gaske wants a "fair deal and a fair pay rise" out of Virgin for workers.
"It's the right thing to do, but it is also the only way the company will retain its best people and not end up in the race to (the) bottom for staff," Ms Gaske said.
The Virgin spokeswoman said the carrier had been negotiating a enterprise agreement with the union for several months.
"Throughout this time, there have been constructive discussions on the terms of a new enterprise agreement," she said.
"We intend to work to finalise this agreement as quickly as possible."
In November, Qantas workers voted for a potential strike action over the Christmas holiday period.
Air travel in Australia's was impacted this week due to wild weather in Melbourne, delaying travel for thousands of holiday makers.
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