Nestlé CEO Scandal | Fired Over Undisclosed Affair 2025

Nestlé CEO Fired Over Undisclosed Affair: Global Food Industry in Shock

On September 2, 2025, the global food industry was shaken when Nestlé abruptly dismissed its Chief Executive Officer, Laurent Freixe, over an undisclosed affair with a subordinate. The company’s board confirmed that Freixe had violated Nestlé’s strict code of ethics by maintaining a secret romantic relationship with an employee.

The controversy first came to light after a complaint was filed through the company’s internal “Speak Up” hotline. Initially, the investigation produced unclear results, but under the supervision of Chairman Paul Bulcke and Lead Independent Director Pablo Isla, further evidence was uncovered. The turning point came when Freixe denied the allegations during early questioning, completely eroding the board’s trust in his leadership.

Freixe, who had been with Nestlé for nearly 40 years and took over as CEO just a year ago, was stripped of his position without any exit package or compensation. According to the board, this decision was made to send a strong message: Nestlé will not compromise on integrity and transparency in leadership.

To stabilize the company, Nestlé immediately appointed Philippe Nouvartel as the new CEO. Nouvartel, who joined Nestlé in 2001, has led several major business units, including Nespresso, and played a key role in the company’s partnership with Starbucks in the global coffee sector. The board expressed confidence that Nouvartel’s strategic vision and proven leadership make him the right choice to guide Nestlé through this crisis.

Chairman Paul Bulcke stated, “Philippe Nouvartel is the right leader at the right time to take Nestlé into a new era of growth and transparency.” However, analysts warn that the company still faces major challenges, including slowing sales, currency fluctuations, and fierce competition in emerging markets. The scandal has further strained investor and consumer confidence.

This incident is more than a personal failure — it is a lesson in corporate governance. In today’s world, where every executive decision is scrutinized, transparency and ethics are no longer optional but essential.

Nestlé’s decisive move underscores one clear message: no executive, no matter how powerful, is above the rules. Trust and transparency remain the pillars upon which the world’s largest companies must build their reputations.