ZURICH: Nestle announced on Tuesday that Chairman Paul Bulcke will step down earlier than planned, only days after the sudden dismissal of Chief Executive Officer Laurent Freixe.

Leadership Transition at Nestle

Bulcke will be succeeded by Vice Chairman Pablo Isla, effective October 1, 2025. Originally, the leadership transition was scheduled for April 2026, but pressure from investors accelerated the process.

Bulcke, a Belgian national who previously served as Nestle’s CEO for nearly a decade before becoming chairman in 2017, was facing criticism from shareholders. Investors blamed him for instability within the company, culminating in Freixe’s abrupt ouster.

Investor Pressure and Company Stability

Reports from the Financial Times highlighted that investors had urged Bulcke to step aside, citing a need for fresh leadership. Nestle, the world’s largest food and beverage company, has been navigating a challenging period marked by management shake-ups and reputational risks.

Bulcke’s Statement on Departure

In his official statement, Bulcke said he had “full trust in Nestle’s new leadership” and believed the company was well-positioned for the future.

“This is the right moment for me to step aside and accelerate the transition, allowing Pablo and Philipp to advance Nestle’s strategy with a fresh perspective,” Bulcke noted.

Isla’s Response and Honorary Role

Pablo Isla praised Bulcke for his dedication and long service, acknowledging his leadership in shaping Nestle’s growth over the years. Bulcke will remain connected to the company as Honorary Chairman.

CEO Laurent Freixe’s Dismissal

The leadership change follows the dismissal of Laurent Freixe, who spent 39 years with Nestle. An internal investigation revealed that Freixe failed to disclose a romantic relationship with a direct subordinate, a violation of Nestle’s code of business conduct.

Nestle confirmed that Freixe will not receive any exit package upon his departure