Nestle fires global CEO over undisclosed romance with a direct subordinate

New Delhi: Swiss food giant Nestlé has removed its chief executive Laurent Freixe with immediate effect after an internal probe found he had an undisclosed romantic relationship with a direct subordinate, a violation of the company’s code of conduct.

The board has named longtime Nestlé hand Philipp Navratil as the new CEO. “This was a necessary decision. Nestlé’s values and governance are the strong foundations of our company,” Chairman Paul Bulcke said. 

The company did not share further details of the investigation.

Freixe, a Nestlé veteran since 1986, had taken the top job on September 1, 2024, after leading Zone Latin America since 2022.

Navratil joined Nestlé in 2001 as an internal auditor, worked across Central America, moved to the Coffee Strategic Business Unit in 2020, and was appointed CEO of Nespresso in 2024. Insiders describe him as a steady operator with deep category experience in coffee.

The shake-up adds to a busy year for Nestlé’s leadership. Bulcke has already said he will not seek re-election in 2026, and Steve Presley, EVP and CEO of Zone Americas, announced his retirement in April after nearly three decades.

Based in Vevey, Switzerland, Nestlé has been managing the same pressures hitting global food makers, higher input costs, tariff drag and choppy demand. In July, the company said price increases helped offset the spike in coffee and cocoa costs.

With Navratil now in charge, all eyes will be on how quickly Nestlé stabilises the corner office and keeps growth on track while tightening guardrails on conduct and governance.

Read together with the recent Coldplay “kiss cam” fiasco that pushed a US tech CEO and his HR head to quit after a viral stadium clip, the message from boardrooms is blunt. 

Workplace relationships that involve a power imbalance are now a governance risk, not a private matter. They can trigger conflict-of-interest questions, expose the company to compliance action, and snowball into a brand crisis in hours. 

Social media has blurred the line between personal conduct and corporate reputation. What used to be handled quietly by HR now lands in the public domain, draws instant judgment, and forces boards to act fast.

The Coldplay episode shows how fast a personal slip can become the company’s problem. Clear policies, early disclosures, written recusals, and swift, transparent action are now basic hygiene.

Freixe’s exit is a reminder that the corner office carries a higher duty of care. The Coldplay moment explains the speed with which that duty is being enforced. In 2025, the court of public opinion sits inside every stadium and every office. 

Companies that move quickly, communicate clearly, and keep the rules the same for everyone are the ones that limit damage and keep focus on the business.