Crackdown on another CEO over 'office romance': Nestle top boss fired after relationship with employee revealed

Nestle CEO Laurent Freixe was fired after a probe was launched that confirmed a violation of code of conduct. The dismissal was effective immediately, and executive Philipp Navratil has taken over as the new CEO.

BBC reported that he failed to disclose his relationship with a subordinate, and an investigation was followed which was taken charge by Lead Independent Director Pablo Isla and Chairman Paul Bulcke. A complaint was filed by a whistleblower in the company, and Bulcke stated, "Chairman Bulcke said in a statement: “This was a necessary decision. Nestlé’s values and governance are strong foundations of our company. I thank Laurent for his years of service." The company confirmed Frexie will not receive an exit package.

The Financial Times, earlier this year, had reported a claim on Frexie's alleged relationship with an employee, but the evidence was insufficient for the claim to be investigated further.

BBC further reported that the complaints'' claims were opened for further investigation when they persisted. They were upheld after an internal probe took place.

Frexie had replaced Mark Schneider, after working at Nestle for around 40 years and had taken the role of global chief executive last September. Philipp Navratil, the newly appointed CEO, has been with Nestle since 2001, and the change has taken place amid tariff tensions in US and demand struggles of the company.

A spokesperson shared, "We acted at all times in line with best practice corporate governance. The external investigation was opened shortly after the initial internal investigation, and today's decision shows that we are taking allegations and investigations seriously."

In July, Astronomer's former CEO Andy Bryon was caught in a controversy, where his relationship with an employee was exposed at a Coldplay concert. Such incidents have shown reasons for growing concerns on professionalism and maintaining conduct in corporate spaces.