Nestle Layoffs: Swiss food and beverage giant Nestle announced plans to cut 16,000 jobs globally over the next two years, as part of a broader effort to focus on high-return products and improve operational efficiency.
The company’s new CEO, Philipp Navratil, who replaced Laurent Freixe in September, emphasised the need for Nestlé to “change faster” and adopt a performance mindset to maintain its market leadership.
Nestle Layoffs: Who Will Be Affected?
Of the total reductions, 12,000 positions will be white-collar roles, while the remaining 4,000 jobs will come from manufacturing, supply chain, and other areas.
The company expects these cuts to save around CHF 1 billion annually by 2027. One-off restructuring costs are expected to be approximately twice the annual savings.
Mr Navratil said, “We are fostering a culture that embraces a performance mindset, that does not accept losing market share, and where winning is rewarded. The world is changing, and Nestlé needs to change faster.”
The layoffs come despite strong sales growth in the first nine months of 2025, with the company performing well across major categories such as coffee, sweets, and packaged foods.
The move is part of Nestlé’s ongoing Fuel for Growth program, which aims to increase cost savings, streamline operations, and automate processes.
The total cost savings target has been increased to CHF 3.0 billion by the end of 2027, up from the previous target of CHF 2.5 billion.
Nestle also reaffirmed its commitment to delivering free cash flow above CHF 8 billion in 2025, with growth expected to recover in 2026 and beyond.
Nestlé, the world’s largest packaged food and drink company, owns hundreds of brands, including Nescafé, KitKat, and Maggi, and faces increasing competition from global and local players in the food sector.
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