I haven't installed the update yet, but I actually managed to stop the flickering problems by just increasing my fanspeeds. Don't live by this yet though, I haven't actually tested it much today since I have a lot of coursework etc to do, but you get the point. I'm starting to suspect it's heat related, but I don't think it got much hotter than 70C at most.
For me a large part of the iMac's beauty is it's next to silent operation. I'd hardly consider that a fix myself and it's why I never mess with the fan speeds.
Also, the fact that it's getting worse over time implies to me that it's a hardware issue, and that this update either has:
A: The placebo effect
This argument might be made for those who no longer see yellow tinges they detected before the update but it hardly applies to flickering which has either stopped or not.
B: Masked the problem (underclocking, perhaps?)
I doubt that. I had no flickering prior to the update and none after and my GPU temps have not changed appreciably either.