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Swiss food giant Nestle announced plans to eliminate 16,000 jobs worldwide over the next two years as part of a sweeping restructuring aimed at speeding up efficiency gains and restoring growth momentum.
New Chief Executive Philipp Navratil, who assumed the role in early September, said the decision reflected the company’s need to "change faster" in a challenging market environment.
Nestle said the job cuts would generate one billion Swiss francs ($1.26 billion) in savings, twice the amount previously targeted, as part of a broader plan to achieve total savings of three billion francs ($3.78 billion) by the end of 2027.
According to the company, around 12,000 of the positions to be eliminated are white-collar jobs, while another 4,000 cuts will come from production and supply chain operations already in progress. Nestlé employs over 270,000 people worldwide.
The announcement coincided with the release of Nestlé’s nine-month financial results, which showed sales down 1.9% to 65.9 billion Swiss francs ($83 billion). Organic sales growth—which excludes currency effects and acquisitions—reached 3.3%, driven mainly by average price increases of 2.8%.
Nestle, whose portfolio includes over 2,000 brands such as Kit Kat chocolate, Nespresso coffee, Perrier water, and Purina pet food, has faced a series of leadership disruptions in recent months.
The company dismissed its previous CEO in September following an internal relationship issue, while its chairman stepped down earlier than expected shortly afterward.
Nestlé’s growth has slowed since 2022, while the firm continues to manage reputational fallout from a bottled-water controversy that emerged in France in 2024.
Despite the challenges, the company reiterated its commitment to long-term profitability and innovation as it adapts to evolving consumer preferences and market pressures.
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