Despite the scorching heat, ominous clouds are gathering over the confectionery giant Nestlé. According to rumors reported by Bloomberg and the website foodmanufacture.uk, former CEO Laurent Freixe is contesting his dismissal in a dispute over unvested bonuses and stock. The dispute appears to concern the reason for the dismissal, which stemmed from a violation of the company's code of conduct.

Freixe , 64, was relieved of his duties as CEO in September 2025 due to "an undeclared romantic relationship with a direct report," after serving in the position for just 12 months (see EFA News ). At the time, Nestlé stated that Freixe , who was effectively fired, would not receive any severance pay due to "violations of the company's code of conduct."

Now, nine months later, the former CEO is reportedly engaged in pre-litigation settlement negotiations with the Swiss multinational, where he worked for 39 years. Freixe claims that his dismissal "unfairly damaged his reputation and earning potential." He is therefore seeking payment of a pro-rata bonus for the months worked in 2025, in addition to the return of shares that accrued over a three-year period but were lost upon termination.

"Mr. Laurent Freixe disputes both the reasons and the manner of his dismissal," his lawyer, Vanessa Chambour of PSF 12 in Lausanne, said in an interview with Bloomberg. "After nearly forty years of impeccable service, he was removed without a hearing and deprived of legitimately earned compensation; this was a punitive process that unfairly damaged his reputation and his ability to continue his career."

Nestlé, for its part, cited violations of the code of conduct, denying severance pay after the dismissal in September.