By Deborah Nnamdi
Swiss food and beverage giant Nestlé has dismissed CEO Laurent Freixe with immediate effect, following the conclusion of an internal investigation that found he had engaged in an undisclosed romantic relationship with a direct subordinate — a clear violation of the company’s code of conduct.
In a brief statement released early Tuesday, Nestlé said the board took the matter “extremely seriously” and acted decisively to uphold the company’s ethical standards and internal policies.
Freixe, who had led the world’s largest food company since 2021, has not commented publicly on the matter. Nestlé did not disclose the identity of the subordinate involved or further details about the investigation, citing privacy concerns.
To ensure leadership continuity, Nestlé’s board has appointed Philipp Navratil — most recently CEO of the company’s Nespresso division — as Freixe’s successor. Navratil will assume the role effective immediately.
“While this leadership change is significant, our strategic direction remains unchanged,” said Paul Bulcke, Chairman of the Board. “Nestlé continues to focus on long-term value creation, innovation, and operational efficiency, especially as we face ongoing global economic and supply chain pressures.”
The leadership shake-up comes at a challenging time for the maker of household brands such as KitKat, Nescafé, and Purina. Like many multinational corporations, Nestlé has been grappling with rising input costs, shifting consumer demand, and geopolitical uncertainty impacting global supply chains.
Freixe’s abrupt departure marks a rare public scandal for the traditionally conservative Swiss conglomerate, which prides itself on corporate discipline and governance. Industry analysts expect the transition to be closely watched by investors and regulators alike.
Nestlé shares were trading slightly lower in early market activity following the announcement.
