‘A Necessary Decision’: ±·±ð²õ³Ù±ôé CEO Ousted After Revelation of Romantic Relationship With Subordinate
CEO Laurent Freixe was dismissed after an internal investigation found a violation of ±·±ð²õ³Ù±ôé’s code of business conduct.
Key Takeaways
- ±·±ð²õ³Ù±ôé fired its CEO, Laurent Freixe, after an investigation found he had an undisclosed romantic relationship with a subordinate.
- This is the second CEO exit in under a year for ±·±ð²õ³Ù±ôé.
- ±·±ð²õ³Ù±ôé installed Philipp Navratil, previously head of the Nespresso division, as the new CEO.
±·±ð²õ³Ù±ôé, the world’s largest consumer goods company, has dismissed its CEO, Laurent Freixe, following revelations of an undisclosed romantic relationship with a subordinate.
According to , concerns about a possible relationship first surfaced in the spring through the company’s internal reporting channel “Speak Up.” A board-led investigation followed, during which Freixe had denied the relationship.
Staff concerns persisted, prompting another investigation overseen by Chairman Bulcke and Lead Independent Director Isla and independent outside counsel. This time around, investigators found what they believed to be evidence of a romantic relationship with a direct subordinate. Swiss website reports that Freixe met the unnamed woman in 2022, when he was head of ±·±ð²õ³Ù±ôé’s Latin America business.
Related: Astronomer CEO Resigns After Coldplay Kiss-Cam Scandal
This relationship violated ±·±ð²õ³Ù±ôé’s code of business conduct, and as reported by , the breach led to Freixe’s immediate removal after just one year in the role. He was not awarded any exit compensation.
“This was a necessary decision. ±·±ð²õ³Ù±ôé’s values and governance are strong foundations of our company,” Chairman Paul Bulcke said. “I thank Laurent for his years of service at ±·±ð²õ³Ù±ôé.”
±·±ð²õ³Ù±ôé installed Philipp Navratil, previously head of the Nespresso division, as the new CEO.
This is the second CEO exit in less than a year for ±·±ð²õ³Ù±ôé, adding to its financial troubles. The Swiss food giant’s shares have shed 17% during Freixe’s leadership, per Reuters, and the value has plummeted by almost a third over the past five years.
Key Takeaways
- ±·±ð²õ³Ù±ôé fired its CEO, Laurent Freixe, after an investigation found he had an undisclosed romantic relationship with a subordinate.
- This is the second CEO exit in under a year for ±·±ð²õ³Ù±ôé.
- ±·±ð²õ³Ù±ôé installed Philipp Navratil, previously head of the Nespresso division, as the new CEO.
±·±ð²õ³Ù±ôé, the world’s largest consumer goods company, has dismissed its CEO, Laurent Freixe, following revelations of an undisclosed romantic relationship with a subordinate.
According to , concerns about a possible relationship first surfaced in the spring through the company’s internal reporting channel “Speak Up.” A board-led investigation followed, during which Freixe had denied the relationship.
Staff concerns persisted, prompting another investigation overseen by Chairman Bulcke and Lead Independent Director Isla and independent outside counsel. This time around, investigators found what they believed to be evidence of a romantic relationship with a direct subordinate. Swiss website reports that Freixe met the unnamed woman in 2022, when he was head of ±·±ð²õ³Ù±ôé’s Latin America business.
Related: Astronomer CEO Resigns After Coldplay Kiss-Cam Scandal
This relationship violated ±·±ð²õ³Ù±ôé’s code of business conduct, and as reported by , the breach led to Freixe’s immediate removal after just one year in the role. He was not awarded any exit compensation.
“This was a necessary decision. ±·±ð²õ³Ù±ôé’s values and governance are strong foundations of our company,” Chairman Paul Bulcke said. “I thank Laurent for his years of service at ±·±ð²õ³Ù±ôé.”
±·±ð²õ³Ù±ôé installed Philipp Navratil, previously head of the Nespresso division, as the new CEO.
This is the second CEO exit in less than a year for ±·±ð²õ³Ù±ôé, adding to its financial troubles. The Swiss food giant’s shares have shed 17% during Freixe’s leadership, per Reuters, and the value has plummeted by almost a third over the past five years.
