Nestlé surprises with CEO Laurent Freixe’s immediate dismissal, over personal relationship with subordinate. Freixe only served for a year before the decision was adopted. This quick response from the company bodes well for how seriously they’re taking policies around workplace conduct.
Nestlé’s board of directors revealed their decision in an unusual public statement. They underscored that the company was focused on creating a positive workplace where everyone is treated with professionalism and respect. The board expressed that such behavior does not align with the company’s values and standards, leading to Freixe’s termination.
Freixe was appointed as CEO in October 2022. It’s telling that they were so quickly able to isolate and remove him as a top architect of Nestlé’s strategic direction. Under his leadership, the company had been prioritizing sustainability initiatives and digital transformation. Yet, even as these undertakings were being implemented, the claims of an unwanted relationship loomed large, leading to serious reconsideration of his continued leadership role.
In response to this news, Nestlé has moved quickly to name former head of Waters, Philipp Navratil as Nestlé’s new CEO. Navratil is considered a veteran executive inside the company, having spent nearly six years as the company’s chief financial officer and in other leadership roles. His extensive experience at Nestlé positions him well to guide the company through this transition and maintain its operational stability.
The board’s choice to remove Freixe at all demonstrates their larger pledge to maintain corporate governance and ethical practices. It’s great to see that Nestlé is serious about progress. The world-class company looks to bolster an uncommon workplace culture that prioritizes professionalism, engagement and accountability.
Her deep experience inside Nestlé will anchor what should be a fairly rapid transition. He has been instrumental in driving growth in different sectors of the company and is familiar with its strategic goals and challenges. As of this writing, stakeholders are hopeful that his leadership can begin to rebuild confidence in the company’s direction after this jarring incident.
