Virgin Australia will suspend all domestic services from 10 April, except one return flight between Sydney and Melbourne.
Previously, the airline had reduced domestic capacity by 90 per cent, flying to just 19 destinations, and cancelled all international journeys.
The business said in a statement, “As a result of government restrictions, less people are travelling and we have made changes to our schedules to reflect this. We continue to operate a daily service between Melbourne and Sydney, provide cargo transport locally and overseas, and operate charter flights including assisting the government in bringing Australians home.”
The Sydney to Melbourne return service will operate daily except Saturdays, and there is no news as to whether this latest announcement will result in more job losses.
The airline has currently stood down 8,000 employees since the coronavirus crisis took hold.
On Monday, Virgin Australia ramped up its lobbying for a bailout by placing a full-page advert in Saturday’s Daily Telegraph warning of the dangers of a Qantas monopoly.
In an apparent swipe at its biggest rival, the text states, “Our biggest competitors need a challenger to keep them honest and innovative. A monopoly won’t even work for them.”
The Virgin Australia Group is currently seeking a $1.4 billion loan from the government to help it survive during the coronavirus crisis, but has also become embroiled in a tit-for-tat row with Qantas, which is lobbying to prevent it.