Nestlé’s CEO, Laurent Freixe, has been dismissed with immediate effect after an investigation into an “undisclosed romantic relationship” with a direct subordinate found the executive had breached the food giant’s code of business conduct.
Philipp Navratil, who began his career with Nestlé nearly 25 years ago, has been named as his replacement.
Chairman Paul Bulcke, who oversaw the investigation, 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 at Nestlé.”
Having worked for the Swiss multinational for almost 40 years, Freixe took over the Chief Executive role in September last year after Mark Schneider was ousted following a challenging period for the world’s largest food manufacturer.
Navratil joined Nestlé in 2001 as an internal auditor. After holding various commercial roles in Central America, he was appointed country manager for Nestlé Honduras in 2009. He assumed leadership of the coffee and beverage business in Mexico in 2013 and transitioned to Nestlé’s Coffee Strategic Business Unit in 2020. He moved to the group’s Nespresso business to become CEO in July 2024 and joined Nestlé’s executive board on 1st January this year.
Bulcke said Navratil was “recognised for his impressive track record of achieving results in challenging environments”.
He added that Freixe’s successor was “renowned for his dynamic presence, he inspires teams and leads with a collaborative, inclusive management style. 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.”
In July, Nestlé posted better-than-expected first-half sales growth and announced a strategic review of its vitamins business, which could lead to the divestment of some brands.
NAM Implications:
- Those who work for Nestlé know the zero-tolerance rules.
- End of story…
