"Nestlé fires CEO for not disclosing romantic affair"

Nestlé Replaces CEO Following Investigation into Policy Violation

Nestlé has removed its chief executive, Laurent Freixe, after an inquiry uncovered an "undisclosed personal relationship" with a subordinate that violated its internal policies.

The Switzerland-based company has appointed Philipp Navratil as Freixe’s replacement.

An investigation led by Nestlé’s chair, Paul Bulcke, and lead independent director, Pablo Isla, with external advisors, determined that Freixe’s involvement with a direct subordinate breached company rules. His departure comes after four decades with the firm.

“This decision was necessary,” Bulcke stated. “Our policies and governance principles are fundamental to the company. We appreciate Laurent’s contributions over the years.”

Freixe assumed the role of CEO in September last year following the departure of his predecessor, Mark Schneider. Nestlé oversees well-known brands such as KitKat, Häagen-Dazs, and Nespresso.

Bulcke, who will step down as chair next year, said Navratil has “demonstrated consistent success in complex situations.”

He described Navratil as “a dynamic leader who fosters collaboration. The board is confident he will advance our objectives while maintaining operational progress. Our strategic direction remains unchanged.”

Navratil joined Nestlé in 2001 as an internal auditor. After roles in Central America, he became country manager for Nestlé Honduras in 2009. He later led the coffee and beverage division in Mexico, transitioned to Nestlé’s coffee strategic unit in 2020, and joined Nespresso in July 2024. He became part of Nestlé’s executive board in January this year.

Last September, BP’s CEO resigned after not disclosing workplace relationships. Bernard Looney was later terminated for withholding information from the board during an internal review, forfeiting over £32 million in compensation. He was succeeded by Murray Auchincloss.

BP has since enforced a policy requiring employees to disclose personal workplace relationships or face termination.

This report includes information from Reuters and Agence France-Presse.