US carrier executives are expected to meet with the Department of Transportation (DOT) to discuss a possible consolidation of routes in order to cut losses across the sector, CNBC has reported.

The US government has already approved a USD50 billion aid package for the airlines, mandating them to retain employment for six months and maintaining flights wherever feasible. However, given a decrease in demand, many routes are not sustainable for competing airlines, although they could be if operated by only one of them.

"It may make more sense to maintain service to that city, but put all passengers on one plane," an unnamed executive said.

The idea has yet to be officially presented to the DOT as airlines have yet to discuss details such as revenue sharing and scheduling.

In Australia, the Australian Competition and Consumer Commission recently allowed Rex - Regional Express (ZL, Wagga Wagga), Qantas (QF, Sydney Kingsford Smith), and Virgin Australia (VA, Brisbane International) to consolidate and coordinate operations on a number of domestic routes to maintain services despite a drop in demand.