Nestlé CEO Fired: Relationship Scandal & Brand Impact

by Archynetys Economy Desk

The Swiss agrifood giant, the image of which has already suffered in recent years from the case of contaminated pizzas Buitoni and the treatment of its mineral waters, announced on Monday the dismissal of its general manager, Laurent Freixe, after an internal investigation into a “not declared romantic relationship with a direct subordinate“, “An offense on the code of good professional conduct of Nestlé“.

The group justified its decision on behalf of “Nestlé values“and”good governance“.

For an international group like Nestlé, “Such a case obviously represents a reputational risk“, observes Caroline Diard, associate professor at the Toulouse business school TBS Education, specialist in human resources and labor law.”If we were talking about an accountant in an SME in Normandy, we wouldn’t even ask ourselves the question“, she underlines to AFP.

At this level of responsibility, the level of media exposure is very high and the function has an aspect of representation of the company therefore “Indeed, we can blame you for not having given the image we expected from the company“Continues Ms. DIARD.

If the board of directors judges that an official “has committed acts that can affect the company’s reputation, it ultimately becomes the reason to be able to part with it“In order to preserve the brand image,” she explains.

Related Posts

Leave a Comment