🔗 Share this article

Corporate Image

Global consumer goods leader the Swiss conglomerate announced it will remove sixteen thousand roles over the next two years, as its new CEO the company's fresh leader pushes a strategy to concentrate on products offering the “highest potential returns”.

The Swiss company needs to “change faster” to stay aligned with a dynamic global environment and embrace a “achievement-focused approach” that refuses to tolerate declining competitive position, according to the CEO.

He took over from ex-chief executive Laurent Freixe, who was terminated in last fall.

The layoff announcement were made public on the fourth weekday as Nestlé reported stronger revenue numbers for the first three-quarters of 2025, with increased revenue across its key product lines, including beverages and confectionery.

The biggest consumer packaged goods corporation, this industry leader owns numerous brands, including its coffee, chocolate, and food brands.

Nestlé aims to get rid of 12,000 administrative roles in addition to four thousand additional positions across the board during the next biennium, it announced publicly.

These job cuts will cut costs by the food giant around one billion Swiss francs each year as part of an ongoing cost-savings effort, it said.

Nestlé's share price increased seven and a half percent following its performance report and job cuts were made public.

The CEO commented: “We are building a organizational ethos that adopts a performance mindset, that refuses to tolerate market share declines, and where achievement is incentivized... Global dynamics are shifting, and the company requires accelerated transformation.”

Such change would involve “hard but necessary choices to cut staff numbers,” he noted.

Equity analyst Diana Radu remarked the report indicated that Mr Navratil wants to “increase openness to areas that were formerly less clear in Nestlé's cost-saving plans.”

These layoffs, she noted, seem to be an effort to “recalibrate projections and rebuild investor confidence through measurable actions.”

Mr Navratil's predecessor was sacked by Nestlé in early September after an investigation into reports from staff that he failed to report a private liaison with a junior employee.

Its departing chairman Paul Bulcke moved up his exit timeline and stepped down in the same month.

Media stated at the moment that stakeholders attributed responsibility to the former chairman for the firm's continuing challenges.

The previous year, an inquiry revealed its baby formula and foods available in emerging markets had undesirably high quantities of added sugars.

The research, conducted by non-profit organizations, established that in many cases, the same products marketed in developed nations had zero additional sweeteners.

• Nestlé manages numerous brands internationally.
• Layoffs will impact sixteen thousand staff members during the upcoming biennium.
• Expense cuts are anticipated to reach 1bn SFr each year.
• Stock value rose significantly following the news.