Nestlé removed chief executive Laurent Freixe on Tuesday after an internal probe. The company said he had an undisclosed romantic relationship with a direct subordinate which broke its conduct code.
Investigation on Laurent Freixe and board decision
The inquiry was overseen by chair Paul Bulcke and lead independent director Pablo Isla with support from outside counsel.
Bulcke said the step was necessary and thanked Freixe for long service. Nestlé stated the dismissal is effective at once.
Meanwhile, reports said the outgoing chief will not receive an exit package.
Furthermore, Freixe served about one year in the top role. Moreover, the company stressed that its strategy stays the same.
Governance and values remain the base for decisions. Markets were told there is no change in performance goals.
Philipp Navratil takes charge after Laurent Freixe
Nestlé named Philipp Navratil as the new chief executive. He joined the firm in 2001 and moved through commercial roles in Central America.
He later led the coffee and beverage business in Mexico and then worked on global coffee strategy.
In July 2024 he shifted to Nespresso and then entered the executive board on January 1 this year.
Bulcke praised Navratil for strong results in tough conditions.
Additionally, the board expects him to drive growth and improve efficiency and said there is no change in the course already set.
Context and what comes next
Corporate rules on workplace relationships have tightened in recent years.
In 2023 BP’s chief Bernard Looney quit and was later dismissed from his notice period after an inquiry into undisclosed relationships.
Therefore, companies now ask senior staff to declare such ties and manage conflicts early.
For suppliers and consumers, the message from Nestlé is continuity with the new administration.
Brand plans and operations continue and focus is on stable execution under new leadership.
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