American Airlines said it will send furlough notices to as many as 25,000 workers as it plans for a future without payment protection funding.
American is the latest major carrier issuing a warning to thousands of its employees that the airline has to be slimmed down to stay in business.
They are still only potential layoffs as the government could still extend the payroll assistance program considering the sheer number of airline workers facing job losses come October.
Warnings are being sent to up to 2,500 pilots and nearly 10,000 flight attendants.
It also includes about 3,200 mechanics.
Airline industry unions have called on the government to fund another $32 billion in payroll protection for another six months from October 1.
All the major carriers have seen what little optimism they had for a quick recovery evaporate as virus cases surge across the country.
Some airlines have started scaling back their schedules again.
United Airlines recently warned it could jettison 36,000 jobs while Southwest Airlines says big job losses are likely if they is no major improvement in travel demand this year.