Air India is flying on empty, Mallya gets a breather, and more top news

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Air India won’t be able to pay its employees after October, Economic Times reports, citing senior airline officials. The national carrier has about ?2,500 crore left – well short of the ?9,000 crore debt-servicing obligations for FY20 – and it has begun to defer payments towards its ?300 crore monthly salary outlay. One official told the publication the salary for May “came over 10 days late”. The aviation ministry is aware of the cash crunch but hasn’t sought additional funding in this year’s Budget. Instead, the government is looking to divest 100% in the airline. Here's what people are saying.

The UK High Court has allowed Vijay Mallya to appeal his extradition, giving the exiled tycoon a boost against Indian investigators. Of the five arguments made by his lawyer, judges accepted only one — that no prima facie case of fraud and money laundering was made against the liquor baron. According to an extradition lawyer, this means India’s evidence was either “weak or inadmissible.” Mallya said his stance has been vindicated and reiterated his call to banks for a settlement offer. The case will now be listed for a full hearing.

Flipkart’s PhonePe could prove a goldmine for Walmart, Mint reports. The retailer’s stake in the payments app is likely to be worth over $14 billion in the medium term, according to investment advisory KeyBanc Capital Markets. That’s just shy of the $16 billion Walmart forked out for 77% in India’s largest e-tailer. PhonePe – locked in a three-way contest with Google Pay and Paytm – has grown at a frenzied pace, onboarding over 4 million merchants to date. Its successful offline expansion and undiluted focus on the payments space have given Walmart a playbook for other group companies, experts say.

India’s workforce will be the worst hit due to heat stress arising from climate change, according to an ILO study. The country is expected to witness a productivity loss equivalent to 34 million full-time jobs or 5.8% of total working hours by 2030. Most of the impact will be felt in agriculture, construction and the brickmaking industry. India’s losses will be much steeper than China’s (0.78% of total working hours), the US’ (0.21%) and the global average (5.8%). The prescription: initiatives like Ahmedabad’s cool roofs for the urban poor, higher water intake, afternoon naps and working in shifts, among others. Here's what people are saying.

India’s startup ecosystem is seeing a funding boom. Citing Tracxn data, Times of India reports that startups raised a cumulative $4.7 billion over January-June 2019, up 31% year on year, even as the number of deals fell by a quarter. The exuberance is hard to miss: investors are betting across new and proven themes, both early-stage ventures and unicorns are raising capital more frequently, and the size of investments has risen. What’s driving this? India’s favourable position given the US-China trade war, more seasoned founders, and the rollout of new India-dedicated funds by investors. Here's what people are saying.

Drugmaker Novartis has introduced gender-neutral 26-week parental leave for its India employees. The new policy will apply to birthing as well as non-birthing parents opting for adoption or surrogacy, a statement said. Earlier, Zomato made headlines when it became the first Indian firm to offer six months’ paid leave to new fathers. But several marquee names in India Inc fare poorly when it comes to paternity leave, mainly because it’s not mandated by law. Here's what people are saying.

Idea of the Day: Shift your thinking to realise that everyone you encounter is an opportunity to learn something or see things from a different perspective, says Alistair Cox, chief executive at Hays.

“This person you perceive to be threatening or intimidating might have technical expertise that would help you to make a breakthrough on one of your projects that’s been on standstill.”

- LinkedIn Editors India/Share this using #DailyRundown