The dismissal of Nestlé’s Laurent Freixe comes just one year after he assumed the role of CEO at the Swiss giant; and follows shortly after Astronomer boss, Andy Byron, was caught with the head of HR at a Coldplay gig.
Whilst many people meet their partners at work, there are occasions where office romances should be disclosed. These two high-profile incidents present an opportunity for businesses and leaders to take stock and ensure their Code of Conduct is not simply words in a document, and that a safe and strong workplace culture runs right through the business, top to bottom.
Why disclosure matters in workplace relationships
As Jennifer Leeder, partner in the employment and immigration team at Birketts LLP, explained: “When a manager fails to disclose a romantic relationship with their subordinate, this is likely to amount to a breach of trust with their employer.
“The power imbalance created causes serious legal and ethical risks for an employer as a result of the potential for a conflict of interest and the possible harassment and discrimination claims that may arise under the Equality Act 2010.
No one is above the code
Speaking with Nick Henderson-Mayo, head of compliance at compliance eLearning and solution provider, VinciWorks, he said that the move to fire Freixe “made a strong statement”.
He added: “The board has sent a strong message that having a C-suite status doesn’t equate to special treatment and by swiftly switching to a bold internal successor sends a clear signal.”
“For executive governance, this is a significant moment revealing that no one is above the code. Transparency must be foundational, not optional. By putting in place mandatory disclosure procedures, clear consent guidelines, and training that emphasises how power disparities can skew relationships, organisations must move from reactive investigations to proactive prevention.
“Leadership isn’t just about delivering quarterly results; it’s about living corporate values loudly and visibly. Nestlé’s board just turned that expectation into a headline.”
Leeder agreed: “While breaches of conduct often stem from individual choices, the culture and tone of an organisation will be shaped by its leadership. This means that if its senior figures disregard boundaries or fail to model expected behaviours, this conveys a message that policies are optional rather than essential.
“It is not enough for an organisation to publish a Code of Conduct and hope it sticks. Instead, investment in meaningful training is important, alongside well-drafted policies to ensure that accountability is consistent across all levels.”
Culture starts at the top
“This must have been a tough decision for the board to make given Freixe’s long service and track record with Nestle,” added leadership coach and managing director of Step Change Consultancy, Jon Poole.
“That said, it was the right decision if Freixe’s actions contravened an element of the company’s Code of Conduct. It doesn’t matter at what level an individual is working in a business, the same rules should apply to all. Failure to take appropriate action would only have led to accusations of a lack of fairness and would undermine the integrity of its code.
“I applaud businesses that set out codes of conduct and create well-defined values, but they are only of value if businesses then stand by them as part of their decision-making processes.”
Fellow leadership coach and podcaster, Amy Wilkinson, said the news does offer a stark reminder of the importance of trust, transparency and leading by example.
“As an industry, we tend to be quite good at writing policies because of the need for legal compliance, ethical frameworks etc., but having a policy written on paper is not the same as living and breathing what it actually says.
“Culture is not made on a piece of paper, it’s in the actions we take. A leader’s role includes creating an environment of trust. In cases like this – not only do the ethics of the power dynamic come into play (relationship with someone who reports to you) but also the initial denial by this individual when ‘caught out’, rather than being honest about it when a whistleblower raised it, brings leadership into question.
“This case isn’t just about the failure to ‘tick a box’, it’s about showing the leadership quality of owning it, being accountable, and living and breathing the culture of the business.
“In short – you can have all the policies you like, but you need to walk the talk.”
Samantha Dickinson, partner at law firm Mayo Wynne Baxter who specialises in employment law, agreed: “Rules and policies lose credibility if they are not applied equally to senior leaders, so consistent enforcement is key.
“Businesses should appreciate that their staff will watch closely how management handles sensitive issues like these. Transparent and fair processes build organisational trust, whereas bending the rules to accommodate senior staff fuels disengagement.”