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| Meta Title | NestlĂ© scandal sticks corporate affairs in the spotlight â again | HR Dive |
| Meta Description | âBoards wonât put up with this,â one analyst said regarding romantic entanglements for top executives. |
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| Boilerpipe Text | An article from
âBoards wonât put up with this,â one analyst said regarding romantic entanglements for top executives.
Published Sept. 4, 2025
Senior Editor
Containers of Nestlé Coffee Mate coffee creamer are displayed on the shelf at the Marina Supermarket in San Francisco, Calif. Nestlé immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate, the company announced Sept. 1, 2025.
Justin Sullivan via Getty Images
This audio is auto-generated. Please let us know if you have
feedback
.
Nestlé
immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate,
the company announced Sept. 1
. This news comes barely a month after
tech company Astronomer
âs CEO was caught on the big screen at a Coldplay concert with his arms around the companyâs chief people officer.
âBoards wonât put up with this,â Andy Challenger, workplace expert and chief revenue officer for global outplacement and executive coaching firm Challenger, Gray & Christmas, said in an emailed statement. âOnce an unethical romantic relationship is uncovered, CEOs tend to lose their jobs.â
Workers may not be surprised; 75% of those surveyed by Zety said
extramarital affairs between executives
are âvery commonâ or âsomewhat common.â Additionally, 1 in 6 said they were aware of or suspected an extramarital affair between executives at their own companies.
While workplace relationships are common and typically allowed, Challenger continued, companies should require disclosure for any relationships between managers and subordinates to watch for risk of conflict, such as favoritism.Â
CEOs â typically one of the faces of an organization, Challenger noted â often face stricter prohibitions on such relationships due to the power they hold: â[T]hat dynamic makes romantic relationships, even among peers, untenable for many organizations.â
Those surveyed by Zety described the pairing of CEO and head of HR as âthe worst possible pairing,â particularly for issues of impropriety at the corporate level.Â
The exact position of the subordinate in a relationship with
NestlĂ©âs
Freixe was not disclosed.
Experts previously told HR Dive that such relationships, when revealed,
can erode trust and invite doubt into numerous decisions
. Questions about ethics at the top could also indicate similar issues in middle management, experts said.
However, boards are much more likely to remove CEOs for sexual misconduct rather than consensual relationships, according to Challengerâs data. Since 2016, 40 CEOs have been ousted due to misconduct, though those departures have fallen steadily since 2017, the analyst firm said. Comparatively, only 14 CEOs were removed due to an âinappropriate relationshipâ during the same time period.
âSophisticated companies lean heavily on maintaining professional ethics in their operations,â Challenger said. âThe standard set for company behavior comes at the top, and creating safe environments that foster innovation, creativity, and progress require that standard to be met.â |
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An article from 
# NestlĂ© scandal sticks corporate affairs in the spotlight â again
âBoards wonât put up with this,â one analyst said regarding romantic entanglements for top executives.
Published Sept. 4, 2025
[](https://www.hrdive.com/editors/kmoody/)
[Kathryn Moody](https://www.hrdive.com/editors/kmoody/) Senior Editor
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Containers of Nestlé Coffee Mate coffee creamer are displayed on the shelf at the Marina Supermarket in San Francisco, Calif. Nestlé immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate, the company announced Sept. 1, 2025. Justin Sullivan via Getty Images
 Listen to the article 3 min
This audio is auto-generated. Please let us know if you have [feedback](https://www.hrdive.com/contact/).
NestlĂ© immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate, [the company announced Sept. 1](https://www.fooddive.com/news/nestle-fires-ceo-after-romantic-relationship-with-subordinate/758945/). This news comes barely a month after [tech company Astronomer](https://www.cnbc.com/2025/07/21/astronomer-interim-ceo-says-spotlight-has-been-unusual-and-surreal.html)âs CEO was caught on the big screen at a Coldplay concert with his arms around the companyâs chief people officer.
âBoards wonât put up with this,â Andy Challenger, workplace expert and chief revenue officer for global outplacement and executive coaching firm Challenger, Gray & Christmas, said in an emailed statement. âOnce an unethical romantic relationship is uncovered, CEOs tend to lose their jobs.â
Workers may not be surprised; 75% of those surveyed by Zety said [extramarital affairs between executives](https://zety.com/blog/executive-romance-report) are âvery commonâ or âsomewhat common.â Additionally, 1 in 6 said they were aware of or suspected an extramarital affair between executives at their own companies.
While workplace relationships are common and typically allowed, Challenger continued, companies should require disclosure for any relationships between managers and subordinates to watch for risk of conflict, such as favoritism.
CEOs â typically one of the faces of an organization, Challenger noted â often face stricter prohibitions on such relationships due to the power they hold: â\[T\]hat dynamic makes romantic relationships, even among peers, untenable for many organizations.â
Those surveyed by Zety described the pairing of CEO and head of HR as âthe worst possible pairing,â particularly for issues of impropriety at the corporate level.
The exact position of the subordinate in a relationship with NestlĂ©âs Freixe was not disclosed.
Experts previously told HR Dive that such relationships, when revealed, [can erode trust and invite doubt into numerous decisions](https://www.hrdive.com/news/coldplay-kiss-cam-scandal/754131/). Questions about ethics at the top could also indicate similar issues in middle management, experts said.
However, boards are much more likely to remove CEOs for sexual misconduct rather than consensual relationships, according to Challengerâs data. Since 2016, 40 CEOs have been ousted due to misconduct, though those departures have fallen steadily since 2017, the analyst firm said. Comparatively, only 14 CEOs were removed due to an âinappropriate relationshipâ during the same time period.
âSophisticated companies lean heavily on maintaining professional ethics in their operations,â Challenger said. âThe standard set for company behavior comes at the top, and creating safe environments that foster innovation, creativity, and progress require that standard to be met.â
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| Readable Markdown | An article from 
âBoards wonât put up with this,â one analyst said regarding romantic entanglements for top executives.
Published Sept. 4, 2025
[](https://www.hrdive.com/editors/kmoody/)
Senior Editor

Containers of Nestlé Coffee Mate coffee creamer are displayed on the shelf at the Marina Supermarket in San Francisco, Calif. Nestlé immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate, the company announced Sept. 1, 2025. Justin Sullivan via Getty Images
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NestlĂ© immediately dismissed its CEO, Laurent Freixe, for not disclosing a romantic relationship with a subordinate, [the company announced Sept. 1](https://www.fooddive.com/news/nestle-fires-ceo-after-romantic-relationship-with-subordinate/758945/). This news comes barely a month after [tech company Astronomer](https://www.cnbc.com/2025/07/21/astronomer-interim-ceo-says-spotlight-has-been-unusual-and-surreal.html)âs CEO was caught on the big screen at a Coldplay concert with his arms around the companyâs chief people officer.
âBoards wonât put up with this,â Andy Challenger, workplace expert and chief revenue officer for global outplacement and executive coaching firm Challenger, Gray & Christmas, said in an emailed statement. âOnce an unethical romantic relationship is uncovered, CEOs tend to lose their jobs.â
Workers may not be surprised; 75% of those surveyed by Zety said [extramarital affairs between executives](https://zety.com/blog/executive-romance-report) are âvery commonâ or âsomewhat common.â Additionally, 1 in 6 said they were aware of or suspected an extramarital affair between executives at their own companies.
While workplace relationships are common and typically allowed, Challenger continued, companies should require disclosure for any relationships between managers and subordinates to watch for risk of conflict, such as favoritism.
CEOs â typically one of the faces of an organization, Challenger noted â often face stricter prohibitions on such relationships due to the power they hold: â\[T\]hat dynamic makes romantic relationships, even among peers, untenable for many organizations.â
Those surveyed by Zety described the pairing of CEO and head of HR as âthe worst possible pairing,â particularly for issues of impropriety at the corporate level.
The exact position of the subordinate in a relationship with NestlĂ©âs Freixe was not disclosed.
Experts previously told HR Dive that such relationships, when revealed, [can erode trust and invite doubt into numerous decisions](https://www.hrdive.com/news/coldplay-kiss-cam-scandal/754131/). Questions about ethics at the top could also indicate similar issues in middle management, experts said.
However, boards are much more likely to remove CEOs for sexual misconduct rather than consensual relationships, according to Challengerâs data. Since 2016, 40 CEOs have been ousted due to misconduct, though those departures have fallen steadily since 2017, the analyst firm said. Comparatively, only 14 CEOs were removed due to an âinappropriate relationshipâ during the same time period.
âSophisticated companies lean heavily on maintaining professional ethics in their operations,â Challenger said. âThe standard set for company behavior comes at the top, and creating safe environments that foster innovation, creativity, and progress require that standard to be met.â |
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