Nestlé Removes CEO Laurent Freixe Following Undisclosed Relationship with Subordinate
Laurent Freixe dismissed after internal probe found violation of conduct; Philipp Navratil appointed as immediate successor
Nestlé has dismissed its chief executive, Laurent Freixe, after an internal investigation uncovered an undisclosed romantic relationship with a direct subordinate, constituting a breach of the company’s code of business conduct.
The inquiry, which included external assistance and oversight by the board chairman and the lead independent director, concluded that Freixe violated established ethical guidelines.
The board stated the decision was necessary to uphold Nestlé’s values and governance standards.
Freixe, who had held the CEO post since September 2024 after succeeding his predecessor, will receive no exit package.
Philipp Navratil, a long-standing Nestlé executive and head of the Nespresso division, has been appointed CEO effective immediately.
Navratil joined the company in 2001 and most recently led Nespresso, having also overseen global strategy for the Nescafé and Starbucks licensing businesses.
The board expressed confidence that he would maintain the company’s strategic direction while accelerating performance and efficiency efforts.
The leadership change comes amid a challenging period for Nestlé.
The company’s shares have fallen around seventeen percent over the past year, reflecting sluggish growth and intensifying competition within the industry.
It also follows a wider industry trend of leadership transitions at major consumer goods firms.
Laurent Freixe had spent nearly four decades at Nestlé, with senior roles across Europe and Latin America.
His departure marks the third CEO change in just over a year, reflecting broader instability in the company’s top management.
Despite the abrupt shift, Nestlé affirmed that its strategic priorities remain unchanged, with commitment to its long-term growth and efficiency plans under its new leadership.
The inquiry, which included external assistance and oversight by the board chairman and the lead independent director, concluded that Freixe violated established ethical guidelines.
The board stated the decision was necessary to uphold Nestlé’s values and governance standards.
Freixe, who had held the CEO post since September 2024 after succeeding his predecessor, will receive no exit package.
Philipp Navratil, a long-standing Nestlé executive and head of the Nespresso division, has been appointed CEO effective immediately.
Navratil joined the company in 2001 and most recently led Nespresso, having also overseen global strategy for the Nescafé and Starbucks licensing businesses.
The board expressed confidence that he would maintain the company’s strategic direction while accelerating performance and efficiency efforts.
The leadership change comes amid a challenging period for Nestlé.
The company’s shares have fallen around seventeen percent over the past year, reflecting sluggish growth and intensifying competition within the industry.
It also follows a wider industry trend of leadership transitions at major consumer goods firms.
Laurent Freixe had spent nearly four decades at Nestlé, with senior roles across Europe and Latin America.
His departure marks the third CEO change in just over a year, reflecting broader instability in the company’s top management.
Despite the abrupt shift, Nestlé affirmed that its strategic priorities remain unchanged, with commitment to its long-term growth and efficiency plans under its new leadership.
