Nestlé Fires CEO Laurent Freixe After Internal Probe Uncovers Policy Breach

Nestlé has removed CEO Laurent Freixe after an internal probe confirmed misconduct. The dismissal follows a tip made through the company’s anonymous hotline.

Freixe, who became CEO in 2024, was let go after failing to disclose a relationship with a direct report. Philipp Navratil has been named the new chief executive.

CEO Dismissal Tied to Code of Conduct Violation

Nestlé’s internal investigation found that Freixe broke corporate rules. The issue was a hidden romantic link with a marketing executive who reported to him.

The initial report came through the ‘Speak Up’ hotline. Both parties denied the affair at first. But follow-up reports and a letter to the chairman supported the claim.

The company launched two separate probes. Both confirmed the breach. Nestlé’s Chairman, Paul Bulcke, called the dismissal “necessary.”

The company stressed that no one is above the rules. Nestlé enforces strict disclosure policies to avoid conflicts of interest.

Broader Impact on Nestlé’s Culture and Future

The scandal comes at a tough time for Nestlé. Shares have dropped over recent years. Executive turnover has added pressure.

Navratil, who led the Nespresso division, will now take over. He faces the task of steadying the business and restoring trust.

In 2024 alone, Nestlé handled over 3,000 conduct-related complaints. Of these, 644 were proven. 119 employees were dismissed.

This case mirrors recent CEO scandals at other firms like BP and Kohl’s. Investors are watching how companies handle executive behavior.

Dropping this nugget your way-

Q1: Why was Nestlé CEO Laurent Freixe dismissed?

He was dismissed for not disclosing a romantic relationship with a subordinate. This broke company rules.

Q2: Who is the new Nestlé CEO?

Philipp Navratil has taken over as CEO. He previously led the Nespresso division.

Q3: What triggered the investigation?

An anonymous tip to Nestlé’s ‘Speak Up’ hotline exposed the relationship. A letter to the chairman added more proof.

Q4: What is Nestlé’s stance on workplace conduct?

Nestlé enforces strict rules. All personal relationships must be disclosed to avoid conflict of interest.

Q5: How many misconduct reports did Nestlé receive in 2024?

Over 3,000 reports were made. 644 were confirmed, and 119 employees were let go.