Norwegian is cancelling about three,000 flights until mid-June pursuing a decline in demand from customers from the coronavirus outbreak.
That is about 15pc of the airline’s total capacity for this time period.
The firm has also set various other actions in area, including temporary layoffs of a “sizeable share of its workforce”.
Impacted prospects will be educated about cancellations.
Main executive Jacob Schram said: “Unfortunately, cancellations will influence a sizeable share of our colleagues at Norwegian. We have initiated formal consultations with our unions regarding temporary layoffs for flying crew users as well as personnel on the ground and in the places of work.”
He additional: “This is a essential time for the aviation marketplace, including us at Norwegian. We encourage the authorities to instantly carry out actions to imminently decrease the monetary load on the airlines in purchase to secure critical infrastructure and employment.”
The Telegraph reported on Sunday that Arrowstreet Money, a $106bn (£81bn) hedge fund launched by British isles-born Harvard professor John Campbell, is between traders betting Norwegian will be the next airline to fail.
Various airlines have slashed capacity to and from Italy in the wake of the nationwide lockdown declared on Monday.
Ryanair will suspend all flights until April 8, whilst British Airways has also stopped flying to Italy.
EasyJet continues to work a tiny amount of flights to the nation.