Nestlé Fires CEO Laurent Freixe Over Undisclosed Relationship With Subordinate

Nestlé has dismissed its global chief executive, Laurent Freixe, with immediate effect after it was revealed he had failed to disclose a romantic relationship with a direct subordinate, in violation of company policy.

The Swiss food giant, known for brands like Kit Kat and Nespresso, confirmed that Freixe was removed following an internal investigation led by Nestlé chair Paul Bulcke and independent director Pablo Isla, with support from external legal counsel.

The BBC understands that the investigation was triggered by a report submitted through Nestlé’s whistleblowing channel. While the employee involved is not a member of the executive board, the company determined the relationship represented a clear conflict of interest.

“Necessary Decision,” Says Nestlé Chair

“This was a necessary decision,” said Bulcke in a statement. “Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service at Nestlé.”

Freixe had been with Nestlé for nearly four decades, having only taken over as CEO in September 2024, replacing Mark Schneider.

Nestlé confirmed that Freixe will not receive an exit package.

Earlier Complaints Dismissed

According to the Financial Times, concerns about Freixe’s conduct were raised earlier this year, but an initial internal probe found the claims unsubstantiated. After complaints persisted, Nestlé launched a second investigation—this time with external counsel—during which the allegations were upheld.

Nestlé emphasized that its actions were aligned with best practices in corporate governance, and said the incident demonstrated its commitment to taking “allegations and investigations seriously.”

Leadership Transition

Philipp Navratil, a long-time Nestlé executive who joined in 2001, has been appointed as Freixe’s successor.

Chair Paul Bulcke also reiterated the company’s strategic continuity:
“We are not changing course on strategy and we will not lose pace on performance.”

Bulcke himself is expected to step down as chair next year, with Pablo Isla—former CEO of Zara-owner Inditex—proposed as his replacement.

Broader Context: CEOs and Relationships

Freixe’s dismissal mirrors similar cases at other major corporations. Notably:

• BP CEO Bernard Looney resigned in 2023 after failing to fully disclose past relationships with employees.
• McDonald’s CEO Steve Easterbrook was fired in 2019 over a consensual relationship and later found to have engaged in multiple undisclosed relationships. He returned a $105 million severance package and paid a $400,000 fine in 2023 to the U.S. Securities and Exchange Commission for misleading investors.

Nestlé has declined further comment. The BBC has reached out to Laurent Freixe for his response.