Nestlé announces the reduction of 16,000 jobs to accelerate the transformation of the company under the new CEO, Philipp Navratil, following a difficult year.

Nestlé has announced a reduction of 16,000 jobs worldwide, as part of a restructuring plan under the new CEO, Philipp Navratil. The company will eliminate 12,000 administrative positions and reduce another 4,000 roles over the next two years, as part of an operational efficiency program. Navratil emphasized that the transformation will involve simplifying the organization and automating processes, without limiting itself to just replacing employees with artificial intelligence. Nestlé's shares rose by 9.3% following the announcement, and the company reported an organic growth of 4.3% in the third quarter, despite challenges in China and rising raw material costs. However, the company has lost over 40% of its market value compared to the peak in 2021, and the new management team must regain investor confidence. Priorities for the coming months include reviving sales in China and making strategic decisions regarding stakes in other companies.