Nestle

Nestlé announced a global workforce reduction of 16,000 employees over two years, effective from October 16, 2025, as part of a strategic initiative to enhance operational efficiency, reduce costs, and improve productivity. This restructuring, led by new CEO Philipp Navratil, aims to achieve 3 billion Swiss francs in cost savings by the end of 2027. The decision is driven by a need to adapt to a changing global market, address rising costs, inflation, supply chain disruptions, and increased competition in the packaged goods sector, with a focus on leveraging automation, including AI. Navratil emphasized the necessity of 'hard but necessary decisions to reduce headcount' to accelerate growth momentum and secure Nestlé's future as an industry leader.