Nestle has sacked Chief Executive Laurent Freixe after an internal probe found he had an undisclosed relationship with a subordinate. Philipp Navratil, a Nestle veteran, takes over as CEO. He joined the company in 2001 and most recently led the Nespresso division.

According to a statement, Freixe was removed following an internal investigation that found he had an undisclosed romantic relationship with a direct subordinate, which breached Nestle’s code of business conduct.

The board said it had ordered the investigation, which was overseen by Chairman Paul Bulcke and lead independent director Pablo Isla, with support from outside counsel.

“This was a necessary decision,” Chairman Paul Bulcke said, adding that Nestle’s governance remained intact. “Nestle’s values and governance are strong foundations of our company,” he added.

Navratil held several roles across Central America and in the company’s global coffee business before his elevation to the top post.

Navratil began his career at Nestle in 2001 as an internal auditor and held several positions across Central America. In 2020, he transitioned to Nestle’s Coffee Strategic Business Unit, and in 2024, he was appointed CEO of Nestle’s Nespresso division.

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With inputs from Associated Press