Try this from ErgoEdbo (listed further back in this set of posts). I found it doesn't completely solve the problem as it only works once but it should at least get the first synch of photos back into albums. I followed the instructions explicitly for my iPad, then did my phone but without re-booting the phone - further synchs on both devices haven't removed the albums but new photos don't go into the albums nor can I add any more albums, but the new photos and contents of further albums do to on to the device.
Other than that we have to wait for Apple to update iTunes - which it seems they are doing as they've had so many reports of this problem.
Step 1: Go to your target photo folder (which includes all of its sub folders, and DELETE the iPod Photo Cache folder.
Step 2. Perform a sync on your device, but UNCHECK the “Sync Photos” box, when prompted, select “remove all photos from device” (this action will erase everything from your device). Complete the sync.
Step 3: After disconnecting USB from PC, perform a “hard reboot” of phone or pad & restart the device.
Step 4: Begin a new sync, this time, CHECKING the box to “Sync Photos” (this action will result in recopying ALL of your target folders & photos, and can take some time to complete, as it would if you were setting up a brand new device)
(Above steps copied from ErgoEdbo's post - if they do help you please mark their post as helpful.