Summary
Nestle's CEO, Laurent Freixe, was fired after a year in the position due to an undisclosed romantic relationship with a subordinate, which broke the company's rules. Philipp Navratil from Nespresso has been appointed as the new CEO at a time when Nestle is facing challenges like slow sales and U.S. tariffs. This leadership change is part of a larger management shake-up at the company, including the upcoming change in the chairman position.
Key Facts
- Laurent Freixe was dismissed as Nestle CEO after being investigated for an undisclosed relationship with a direct subordinate.
- Philipp Navratil, formerly head of Nespresso, is the new CEO of Nestle.
- The romantic relationship violated Nestle's code of business conduct.
- This is the second CEO change at Nestle within a year, following Mark Schneider's departure in August 2024.
- Paul Bulcke will step down as chairman in April, to be replaced by Pablo Isla.
- Nestle is dealing with challenges such as slow sales and U.S. tariffs.
- Shares of Nestle dropped 0.8% following the announcement.
- Freixe will not receive an exit package, and his dismissal aligns with a broader trend of executives being removed for personal misconduct.
