How Nestlé CEO Laurent Freixe’s Secret Relationship With Subordinate Cost Him His Job
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Nestlé has abruptly removed its Chief Executive Officer, Laurent Freixe, after an internal inquiry revealed he was involved in a hidden relationship with a subordinate. The Swiss food giant confirmed that Philipp Navratil has been appointed as the new CEO, effective immediately.
At 63, Laurent Freixe was a Nestlé veteran, having spent four decades with the company. He started his journey negotiating contracts with retailers before moving up the corporate ladder. In September 2024, he was named CEO, succeeding Ulf Mark Schneider. But exactly a year later - on September 1, 2025 - his leadership came to a sudden end after the investigation’s findings.
Nestlé’s Official Word
The inquiry was overseen by Chairman Paul Bulcke and Lead Independent Director Pablo Isla. In a statement, the company noted: “The departure of Laurent Freixe follows an investigation into an undisclosed romantic relationship with a direct subordinate which breached Nestlé’s Code of Business Conduct."
Bulcke reinforced the company’s stance, saying: “This was a necessary decision. Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service at Nestlé."
How the Affair Was Discovered
The issue first surfaced when a whistleblower complaint was filed through the company’s internal reporting system. The BBC reported that while the subordinate’s identity remains undisclosed, the person was not part of the executive board.
The Financial Times added that concerns about the relationship had been raised earlier in the year, though an initial internal check dismissed the allegations. It was only after fresh complaints emerged that Nestlé launched a second investigation with the help of external experts, which confirmed the violation.
No Golden Goodbye
Unlike his predecessor, Ulf Mark Schneider, who earned 9.6 million Swiss francs annually, Freixe will leave without any exit package. According to the company’s 2024 pay report, he owned more than 41,000 Nestlé shares worth about $3.6 million. However, the BBC confirmed that no severance deal will accompany his departure.
A Rare Move in Corporate Switzerland
Freixe’s ouster stands out as one of the few times a chief executive of a global Swiss company has been dismissed so publicly. For a corporation with over 150 years of history, the decision reflects how firmly Nestlé is enforcing its code of conduct while also highlighting the growing scrutiny of personal relationships in professional settings worldwide.
Who Was Laurent Freixe ?
At 63, Laurent Freixe was a Nestlé veteran, having spent four decades with the company. He started his journey negotiating contracts with retailers before moving up the corporate ladder. In September 2024, he was named CEO, succeeding Ulf Mark Schneider. But exactly a year later - on September 1, 2025 - his leadership came to a sudden end after the investigation’s findings.
Nestlé’s Official Word
The inquiry was overseen by Chairman Paul Bulcke and Lead Independent Director Pablo Isla. In a statement, the company noted: “The departure of Laurent Freixe follows an investigation into an undisclosed romantic relationship with a direct subordinate which breached Nestlé’s Code of Business Conduct."
Bulcke reinforced the company’s stance, saying: “This was a necessary decision. Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service at Nestlé."
How the Affair Was Discovered
The issue first surfaced when a whistleblower complaint was filed through the company’s internal reporting system. The BBC reported that while the subordinate’s identity remains undisclosed, the person was not part of the executive board.
The Financial Times added that concerns about the relationship had been raised earlier in the year, though an initial internal check dismissed the allegations. It was only after fresh complaints emerged that Nestlé launched a second investigation with the help of external experts, which confirmed the violation.
No Golden Goodbye
Unlike his predecessor, Ulf Mark Schneider, who earned 9.6 million Swiss francs annually, Freixe will leave without any exit package. According to the company’s 2024 pay report, he owned more than 41,000 Nestlé shares worth about $3.6 million. However, the BBC confirmed that no severance deal will accompany his departure.
A Rare Move in Corporate Switzerland
Freixe’s ouster stands out as one of the few times a chief executive of a global Swiss company has been dismissed so publicly. For a corporation with over 150 years of history, the decision reflects how firmly Nestlé is enforcing its code of conduct while also highlighting the growing scrutiny of personal relationships in professional settings worldwide.
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