A pink CEO scandal with existing in its bosom Nestle It brought the colossus company to the focus of international attention. CEO Loran frees was removed from his post as his love affair with his employee and his subordinate was revealed. Indeed, it seems like His official mistress denounced him.
The decision of the Nestle Board, which came just a year after taking up his duties as CEOraises questions about the boundaries and consequences of pink relationships in business.
The multinational colossus, worth $ 244 billion, announced that the relationship was violating the Code of Conduct. In place of fresh the already placed the Philip Nabratil, Until recent head of Nespresso.
Boards are now displayed less alternative Against cases of inappropriate behavior, especially when it comes to CEOs. Unlike decades older decades, removes in no time.
Frees left without compensationwhich demonstrates the shift to stricter the rules.
The case is not only about the existence of the relationship, but also the fact that Frey did not disclose it.
Even if he had done so, experts estimate that he would hardly remain in his position, as the imbalance between CEO and subordinate raises serious questions about impartiality and corporate ethics.
Experts point out that in some cases companies… close their eyes when it is powerful within a company, such as CEO. However, employee complaints and public opinion pressure can overturn this implied tolerance.
It is also of interest to the fact that He had previously married Nestle employee, After they had stated their relationship and she left the company.
According to experts, his choice for CEO’s position, despite its history, sends contradictory message of how Nestle manages such cases.
The removal of Loren Frees is not just a corporate change at the top of Nestlé.
It reflects the new requirements of transparency, ethics and zero tolerance that prevail in the business world against erotic romances at work, especially when the executives are involved.