Norwegian is cancelling about 3,000 flights till mid-June pursuing a drop in need from the coronavirus outbreak.
That is about 15pc of the airline’s full capability for this interval.
The company has also set a number of other measures in location, together with short term layoffs of a “sizeable share of its workforce”.
Affected buyers will be knowledgeable about cancellations.
Chief executive Jacob Schram said: “Unfortunately, cancellations will impact a sizeable share of our colleagues at Norwegian. We have initiated formal consultations with our unions concerning short term layoffs for flying crew users as effectively as workers on the ground and in the offices.”
He extra: “This is a crucial time for the aviation industry, together with us at Norwegian. We motivate the authorities to right away employ measures to imminently lessen the fiscal load on the airlines in order to defend important infrastructure and work opportunities.”
The Telegraph noted on Sunday that Arrowstreet Cash, a $106bn (£81bn) hedge fund launched by British isles-born Harvard professor John Campbell, is among the traders betting Norwegian will be the next airline to fail.
Various airlines have slashed capability to and from Italy in the wake of the nationwide lockdown announced on Monday.
Ryanair will suspend all flights till April eight, while British Airways has also stopped flying to Italy.
EasyJet continues to function a modest number of flights to the nation.