Nestlé Leadership in Turmoil: Ex-CEO Freixe's Exit Amid Controversy

Nestlé's ex-CEO Laurent Freixe was dismissed due to an improper relationship with a subordinate, throwing the company into chaos. Despite no initial evidence, a second investigation confirmed violations. Freixe's successor, Philipp Navratil, aims to stabilize Nestlé during this tumultuous phase, post-critical lead by Mark Schneider.

Nestlé is facing managerial upheaval following the dismissal of ex-CEO Laurent Freixe. Allegations of favoritism and a romantic relationship with a subordinate plagued Freixe, leading to his ousting after a company investigation unveiled breaches of conduct.

Chief Financial Officer Anna Manz disclosed at an investor conference that the allegations first emerged in May. An internal investigation initially found no solid evidence, but whistleblower complaints persisted, prompting a second probe that confirmed the misconduct.

Freixe's replacement, Philipp Navratil, formerly of Nespresso, is expected to bring new leadership amid criticisms that stormed the institution post-leadership transitions. Nestlé had struggled under Mark Schneider's tenure, characterized by aggressive acquisition strategies but poor post-pandemic recovery.

(With inputs from agencies.)