Swiss food giant, Nestlé, on Monday dismissed its chief executive officer, Laurent Freixe, with immediate effect following an internal investigation into an “undisclosed romantic relationship with a direct subordinate.”
The company, which produces global brands including Nespresso coffee and KitKat chocolate, confirmed the dismissal in a statement, stressing that the decision was necessary to uphold its governance and values.
“The departure of Laurent Freixe follows an investigation into an undisclosed romantic relationship with a direct subordinate which breached Nestlé’s code of business conduct,” the board stated.
In a swift replacement move, Nestlé’s board appointed Philipp Navratil, the CEO of Nespresso, as the new group chief executive.
Board chairman Paul Bulcke said, “This was a necessary decision. Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service.”
Freixe, who joined Nestlé in France in 1986, rose through the ranks, leading the firm’s European operations during the 2008 financial crises before heading its Latin America division. He was named CEO in September 2024.
His one-year tenure was marked by pressure to revive consumer spending amid rising costs of cocoa and coffee and weak demand in China. In July, the company reported a 10.3 per cent drop in first-half profits.