The global food giant Announces Massive 16,000 Job Cuts as Incoming Leader Pushes Cost-Cutting Measures.
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Food and beverage giant the Swiss conglomerate has declared it will cut sixteen thousand jobs during the upcoming biennium, as its new CEO Philipp Navratil pushes a plan to prioritize products offering the “highest potential returns”.
The Swiss company has to “change faster” to stay aligned with a evolving marketplace and implement a “results-oriented culture” that refuses to tolerate losing market share, said Mr Navratil.
He replaced ex-chief executive Laurent Freixe, who was let go in last fall.
These workforce reductions were disclosed on the fourth weekday as Nestlé reported stronger sales figures for the first nine months of 2025, with expanded revenue across its major categories, such as beverages and confectionery.
The biggest food & beverage corporation, this industry leader owns numerous brands, like Nescafé, KitKat and Maggi.
The company aims to eliminate 12,000 white collar positions on top of 4,000 other roles across the board over the coming 24 months, it announced publicly.
These job cuts will cut costs by the food giant approximately 1bn SFr (ÂŁ940m) per annum as within an ongoing cost-savings effort, it stated.
Nestlé's share price rose by more than seven percent shortly after its quarterly update and restructuring news were made public.
Nestlé's leader commented: “We are fostering a organizational ethos that adopts a achievement-oriented approach, that does not accept losing market share, and where winning is rewarded... The world is changing, and we must adapt more rapidly.”
This transformation would involve “tough but required choices to trim the workforce,” he noted.
Financial expert an industry specialist said the update suggested that Nestlé's leader aims to “enhance clarity to areas that were formerly less clear in Nestlé's cost-saving plans.”
The workforce reductions, she said, appear to be an initiative to “adjust outlooks and regain market faith through concrete measures.”
Mr Navratil's predecessor was terminated by the company in the start of last fall after an investigation into whistleblower allegations that he omitted to reveal a personal involvement with a direct subordinate.
The company's outgoing chair the ex-chairman accelerated his departure date and left his post in the same month.
Media stated at the time that shareholders held accountable the outgoing leader for the firm's continuing challenges.
The previous year, an investigation discovered infant nutrition items from the company available in emerging markets contained unhealthily high levels of sugar.
The research, carried out by advocacy groups, established that in numerous instances, the equivalent goods sold in wealthy countries had no extra sugars.
- The corporation owns numerous product lines worldwide.
- Job cuts will impact 16,000 employees throughout the upcoming biennium.
- Cost reductions are projected to reach one billion Swiss francs annually.
- Equity increased 7.5% following the announcement.
