The strike has now been rescheduled for September 6th, unions said.
113 flights to and from Italy were expected to be cancelled as a result of the planned industrial action, and passengers on remaining flights were bracing for long queues and general airport chaos.
But unions representing employees of the beleagured Italian airline said strike action was postponed after talks with the Transport Ministry, Italian daily Il Messagero reported.
Unions are now debatng whether or not the airline strike will last 24 hours as initially planned.
The strike was called in protest over new transport plans drafted by the government, which unions said they weren't consulted on.
This is one cancellation that will be welcome news to people travelling in Italy this week after a few days of transport chaos.
Yesterday's planned national strike went ahead, hitting bus, taxi, rail and ferry transport around Italy.
That was after Monday's fire on the high-speed line between Rome and Florence caused some 50 trains to be cancelled on the route and many more delayed for hours, while knock-on delays and cancellations left passengers stranded across the country.
But Italy's traditional summer travel chaos has only just begun.
Drivers are being warned to avoid travelling this weekend and on other dates throughout August and September, as heavy holiday traffic is expected to reate dangerous driving conditions.
It's not sure that all of the 113 flights expected to be cancelled will now fly.
Anyone planning to travel with Alitalia is advised to confirm their flight status with the airline directly. Contact details are available on the company's website.
Transport strikes in Italy are scheduled in advance, and you can find information about planned disruptions (in Italian only) on the Transport Ministry's dedicated strike website.