Nestlé has dismissed its chief executive, Laurent Freixe, after just a year in the role, following an internal probe into what the company described as an undisclosed romantic relationship with a direct subordinate.
The move marks the second leadership shake-up at the Swiss food giant in as many years, deepening concerns about stability at the top of the world’s largest packaged food company.
The investigation, led by Nestlé chair Paul Bulcke and lead independent director Pablo Isla with the support of external counsel, found that Freixe’s conduct violated the company’s code of business ethics. His departure also closes a 40-year career at Nestlé.
“This was a necessary decision,” Bulcke said in a statement. “Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service.”
Freixe, who replaced Mark Schneider as CEO in September 2024, now becomes the second chief executive ousted in under two years. His exit comes as Nestlé navigates slowing global sales, U.S. trade tariffs, and investor dissatisfaction over long-term underperformance.
To steady the helm, Nestlé has appointed Philipp Navratil, previously head of Nespresso and a member of the executive board since January 2025, as its new CEO. Navratil is widely regarded as one of the company’s rising stars.
Bulcke described him as “recognised for his impressive track record of achieving results in challenging environments,” adding that “he inspires teams and leads with a collaborative, inclusive management style.
The board is confident that he will drive our growth plans forward and accelerate efficiency efforts. We are not changing course on strategy and we will not lose pace on performance.”
Navratil began his Nestlé career in 2001 as an internal auditor before moving through commercial and leadership roles across Central America and Mexico. He was appointed country manager for Nestlé Honduras in 2009, later leading the coffee and beverages division in Mexico in 2013, and moving into the global coffee business in 2020. In July 2024, he took charge at Nespresso before joining Nestlé’s executive board earlier this year.
The shake-up comes against a broader corporate backdrop where CEO relationships with colleagues have led to similar scandals. In 2023, BP’s chief executive Bernard Looney resigned — and was later formally dismissed — after failing to disclose past relationships with colleagues and misleading the board during its inquiries.
Bulcke, who is due to step down as chair of Nestlé next year, insisted that despite the turbulence, the company’s strategic direction will remain unchanged.
Source: ameyawdebrah.com/
