Chief executive of Swiss food giant Nestle, Laurent Freixe has been sacked.
He was sacked for engaging in a secret romantic relationship with a direct subordinate.
The company described the decision as necessary to uphold its corporate values and governance standards.
“This was a necessary decision. Nestle’s values and governance are strong foundations of our company. I thank Laurent for his years of service,” the statement read in part.
Laurent, a long-serving Nestle executive who joined the company in France in 1986, had only held the CEO position since September 2024. Prior to his promotion, he led Nestle’s European operations and headed the Latin America division.
In the wake of Laurent’s departure, Nestle’s board appointed Philipp Navratil, currently CEO of Nespresso, as the new chief executive. Navratil joined Nestle in 2001 and has held several leadership roles in Central America, overseeing global strategy and innovation for the Nescafe and Starbucks brands before taking over Nespresso in July 2024.
Chairman Paul Bulcke expressed confidence in the new appointment, saying, “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.”
Nestle reported a 10.3 percent drop in first-half profits in late July, citing sluggish consumer spending in China, despite passing on higher cocoa and coffee costs to customers.
The company’s share price fell by nearly 25 percent last year, raising concerns among Swiss pension funds heavily invested in Nestle.
Navratil pledged to maintain the company’s strategic direction and implement the ongoing value creation plan with determination.
Headquartered in Vevey on Lake Geneva, Nestle is known for brands including Nespresso, KitKat, Purina, Maggi, Gerber, and Nesquik.
