Nestlé Abruptly Dismisses CEO Laurent Freixe Over Conduct Breach

In a dramatic shake-up, Swiss food giant Nestlé announced on Monday that it has terminated Chief Executive Officer Laurent Freixe after an internal investigation revealed he failed to disclose a romantic relationship with a direct subordinate, a clear violation of the company’s code of business conduct.

The board moved swiftly to appoint Philipp Navratil-formerly head of Nestlé’s Nespresso division-as Freixe’s immediate successor, ensuring continuity at the helm of the world’s largest food and beverage company. Nestlé Chairman Paul Bulcke emphasized that the decision was “necessary,” underscoring that “the values and governance of Nestlé are fundamental to our organization” and expressing gratitude for Freixe’s nearly four decades of service.

Freixe, 63, had assumed the CEO role in September 2024 after a long tenure overseeing Nestlé’s European and Latin American operations. Nestlé confirmed that Chairman Bulcke and Lead Independent Director Pablo Isla oversaw the inquiry, supported by external legal counsel, before concluding that Freixe’s undisclosed relationship constituted a breach warranting dismissal.

Navratil, a Nestlé veteran since 2001, brings deep operational experience from roles ranging from internal auditor to country manager in Central America, and most recently as head of the Nespresso unit. Bulcke expressed confidence in Navratil’s ability to “drive our growth plans forward and accelerate efficiency efforts” without altering the company’s strategic direction.

The sudden removal of Freixe marks one of the most significant leadership disruptions in the consumer goods sector this year, following similar high-profile exits at other global companies. As Nestlé contends with inflationary pressures and shifting global trade dynamics, the board’s decisive action aims to reinforce the group’s commitment to ethical governance and stable leadership.