🔗 Share this article

Corporate Image

Food and beverage giant the Swiss conglomerate announced it will remove sixteen thousand positions within the coming 24 months, as its new CEO the company's fresh leader advances a strategy to concentrate on products offering the “greatest profit margins”.

This multinational corporation must “adapt more quickly” to keep pace with a evolving marketplace and implement a “performance mindset” that does not accept ceding ground to competitors, the executive stated.

He replaced ex-chief executive the previous leader, who was let go in September.

The job cuts were disclosed on the fourth weekday as Nestlé shared better sales figures for the initial three quarters of 2025, with increased product movement across its primary segments, such as coffee and sweets.

The world's largest food & beverage company, Nestlé owns hundreds of brands, among them Nescafé, KitKat and Maggi.

The company plans to get rid of 12,000 administrative jobs on top of 4,000 additional positions company-wide during the next biennium, it said in a statement.

The lay-offs will result in savings of the corporation around CHF 1 billion annually as part of an ongoing cost-savings effort, it said.

Its equity price increased seven and a half percent following its performance report and job cuts were made public.

Mr Navratil commented: “We are cultivating a culture that welcomes a results-driven attitude, that does not accept competitive setbacks, and where achievement is incentivized... The world is changing, and Nestlé needs to change faster.”

The restructuring would include “difficult yet essential decisions to reduce headcount,” he said.

Market analyst Diana Radu remarked the report signalled that Nestlé's leader seeks to “increase openness to sectors that were once ambiguous in the company's efficiency strategy.”

The workforce reductions, she noted, appear to be an initiative to “reset expectations and regain market faith through concrete measures.”

Mr Navratil's predecessor was sacked by the company in the start of last fall after an investigation into whistleblower allegations that he did not disclose a private liaison with a direct subordinate.

The former board leader Paul Bulcke accelerated his exit timeline and left his post in the identical period.

It was reported at the time that stakeholders blamed the outgoing leader for the company's ongoing problems.

Last year, an inquiry discovered infant nutrition items from the company marketed in low- and middle-income countries had unhealthily high levels of added sugars.

The study, carried out by advocacy groups, determined that in many cases, the identical items sold in wealthy countries had no added sugar.

• Nestlé manages a wide array of product lines globally.
• Job cuts will involve 16,000 workers during the coming 24 months.
• Savings are anticipated to reach CHF 1 billion per year.
• Equity increased significantly after the update.