Nestlé fires CEO Laurent Freixe over undisclosed affair with employee, names replacement

Nestlé, the world’s largest food company, has terminated the contract of its Chief Executive Officer, Laurent Freixe, following a breach of the company’s code of conduct.

The Swiss conglomerate cited an undisclosed romantic relationship with a subordinate as the reason for his dismissal.

The announcement was made on Monday, with Nestlé confirming that longtime executive Philipp Navratil will take over as CEO.

“The dismissal of Laurent Freixe with immediate effect,” Nestlé said, “follows an investigation into an undisclosed romantic relationship with a direct subordinate which breached Nestlé’s Code of Business Conduct.”

It added that, before Mr. Freixe’s dismissal, “Board ordered an investigation overseen by Chairman Paul Bulcke and Lead Independent Director, Pablo Isla, with the support of independent outside counsel.”

Chairman Paul Bulcke said in a statement that dismissing Mr Freixe was necessary.
“Nestlé’s values and governance are strong foundations of our company,” stated Mr Bulcke.

A new CEO has been named.

“I am pleased to announce Philipp Navratil as CEO. Philipp is recognized for his impressive track record of achieving results in challenging environments,” said Mr Bulcke. “Renowned for his dynamic presence, he inspires teams and leads with a collaborative, inclusive management style.”

Nestlé’s new CEO, Mr Navratil, began his career with the company in 2001 as an internal auditor.