Who is Laurent Freixe? Nestle CEO fired over romantic relationship with employee

Nestlé has dismissed its global chief executive, Laurent Freixe, after just one year in the role, following revelations that he failed to disclose a romantic relationship with a subordinate. The Swiss multinational, known for brands such as KitKat and Nespresso, announced that the decision was taken with immediate effect after an internal investigation concluded that the relationship represented a conflict of interest.

The probe, which was triggered by a whistleblower report filed through the company’s internal channel, was overseen by Nestlé chair Paul Bulcke and independent director Pablo Isla, with assistance from external legal counsel. The company confirmed that the individual involved in the relationship was not a member of the executive board.

Bulcke said the dismissal was necessary to uphold Nestlé’s corporate values and governance standards. “Nestlé’s values and governance are strong foundations of our company. This was a necessary decision,” he stated, while also expressing appreciation for Freixe’s decades-long service to the firm.

Freixe, who had been with Nestlé for nearly 40 years, was elevated to chief executive in September last year, replacing Mark Schneider. His sudden departure means Philipp Navratil, a long-serving Nestlé executive who joined the company in 2001, will now assume the top role. Despite the leadership shake-up, Bulcke stressed that Nestlé’s strategy and growth trajectory will remain unchanged.

The company also made clear that Freixe will not be granted any form of exit package.

Nestlé’s decision echoes a growing trend of corporate boards taking a hard line on executive relationships that may compromise transparency and governance. In recent years, high-profile CEOs at other global firms have faced similar scrutiny. BP’s Bernard Looney stepped down in 2023 after admitting he had not been fully forthcoming about past relationships with colleagues. Likewise, McDonald’s ousted its chief executive, Steve Easterbrook, in 2019 for a consensual relationship with an employee, only for further investigations to uncover multiple additional relationships. Easterbrook initially received a severance package worth over $100 million, which he later forfeited, before being fined by U.S. regulators for misleading investors.

The shake-up at Nestlé marks one of the most dramatic leadership crises in its history. With Navratil stepping in, all eyes will be on how swiftly the company stabilizes its leadership while keeping its performance momentum intact.