Nestlé, the world's largest food company, is set to cut 16,000 jobs globally over the next two years as part of an ambitious cost-cutting strategy aimed at enhancing efficiency and profitability.
Approximately 12,000 of the job losses will affect white-collar positions, reflecting a significant shift in workforce dynamics as manufacturing and supply roles are also impacted.
Newly appointed CEO Philipp Navratil is spearheading the transformation, stressing the urgent need for the company to adapt rapidly to changing consumer demands and market conditions.
This strategic overhaul comes even as Nestlé celebrates a 4.3% increase in organic sales for the third quarter of 2025, showcasing the challenge of balancing growth with necessary downsizing.
The layoffs highlight a broader trend in the consumer goods sector, where escalating competition and shifts in consumer preferences drive companies to embrace automation and cost efficiencies.
The leadership's focus on cultivating a "performance mindset" aims to restore investor confidence and secure Nestlé's position as a leader in the industry amidst an evolving landscape.
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