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Food and beverage giant Nestlé stated it will cut 16,000 jobs over the next two years, as its new CEO Philipp Navratil advances a plan to concentrate on products offering the “most lucrative outcomes”.

The Swiss company must “adapt more quickly” to keep pace with a dynamic global environment and implement a “results-oriented culture” that does not accept losing market share, the executive stated.

His appointment followed ex-chief executive the previous leader, who was let go in the ninth month.

The layoff announcement were revealed on the fourth weekday as the corporation reported improved sales figures for the first three-quarters of 2025, with expanded sales across its key product lines, encompassing hot drinks and snacks.

The world's largest consumer packaged goods corporation, Nestlé owns hundreds of labels, among them Nescafé, KitKat and Maggi.

Nestlé plans to eliminate twelve thousand white collar positions in addition to four thousand other roles throughout the organization over the coming 24 months, it stated officially.

The workforce reduction will save the corporation about CHF 1 billion per annum as a component of an continuous efficiency drive, it confirmed.

Its equity price rose 7.5% following its trading update and job cuts were revealed.

Mr Navratil commented: “We are cultivating a organizational ethos that embraces a performance mindset, that will not abide competitive setbacks, and where achievement is incentivized... The world is changing, and the company requires accelerated transformation.”

The restructuring would encompass “hard but necessary choices to trim the workforce,” he added.

Market analyst an industry specialist remarked the announcement signalled that Mr Navratil seeks to “increase openness to aspects that were previously more opaque in its expense reduction initiatives.”

The job cuts, she explained, appear to be an initiative to “reset expectations and restore shareholder trust through concrete measures.”

His forerunner was terminated by the company in the start of last fall after an investigation into reports from staff that he omitted to reveal a private liaison with a immediate staff member.

The former board leader Paul Bulcke brought forward his leaving schedule and left his post in the same month.

Media stated at the period that shareholders blamed Mr Bulcke for the company's ongoing problems.

Last year, an investigation discovered its baby formula and foods available in low- and middle-income countries had excessive amounts of sugar.

The study, by a Swiss NGO and the International Baby Food Action Network, found that in numerous instances, the identical items available in wealthy countries had no added sugar.

• Nestlé manages a wide array of brands internationally.
• Workforce reductions will affect sixteen thousand employees throughout the next two years.
• Savings are projected to reach CHF 1 billion each year.
• Equity climbed significantly after the announcement.