Nestlé CEO sacked over 'undisclosed romantic relationship' with employee
Nestlé has dismissed its chief executive, Laurent Freixe, after an investigation into an “undisclosed romantic relationship” with an employee.
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Nestlé conducted its own investigation into the case, which ended with the removal of the Mr Freixe after almost 40 years at the company.
Nestlé have stated that the former CEO’s relationship with a direct subordinate was a breach of company’s conduct code.
Company chair, Paul Bulcke, who oversaw the investigation said in a statement “This was a necessary decision. Nestlé’s values and governance are strong foundations of our company.”
Freixe will be replaced by Philipp Navratil, who has been with Nestlé since 2001 and is seen by many as a rising star within the company.
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This is the latest in a series of shocks for Nestlé, which has further knocked investor confidence.
For the past three years share prices have declined, with no signs of a recovery this year. The company's shares were indicated 1.9% lower in premarket activity in Zurich following the CEO's dismissal on Monday.
Freixe’s removal comes a year after predecessor Mark Schneider was let go, and only a few months after Paul Bulcke announced he would step down in 2026.
Nestle's shares have lost almost a third of their value over the past five years.