Norwegian is cancelling about 3,000 flights till mid-June subsequent a decline in demand from customers from the coronavirus outbreak.
That is about 15pc of the airline’s total capacity for this period.
The enterprise has also set various other steps in place, which includes non permanent layoffs of a “major share of its workforce”.
Influenced customers will be knowledgeable about cancellations.
Main executive Jacob Schram said: “Unfortunately, cancellations will affect a major share of our colleagues at Norwegian. We have initiated formal consultations with our unions pertaining to non permanent layoffs for traveling crew customers as well as staff on the ground and in the workplaces.”
He additional: “This is a vital time for the aviation field, which includes us at Norwegian. We motivate the authorities to immediately apply steps to imminently lower the economic stress on the airways in order to secure crucial infrastructure and positions.”
The Telegraph claimed on Sunday that Arrowstreet Money, a $106bn (£81bn) hedge fund released by British isles-born Harvard professor John Campbell, is amongst buyers betting Norwegian will be the next airline to fail.
Several airways have slashed capacity to and from Italy in the wake of the nationwide lockdown announced on Monday.
Ryanair will suspend all flights till April eight, when British Airways has also stopped traveling to Italy.
EasyJet proceeds to work a compact selection of flights to the place.