Nestle will lay off 16,000 employees in the next two years
Nestle announced it will cut 16,000 jobs worldwide as part of a restructuring that seeks to save $3.75 billion by 2027
The Swiss multinational Nestle, known for brands such as Nespresso, Perrier, Gerber and Kit Kat, announced that it will eliminate 16,000 jobs worldwide within two years. This measure is part of a sweeping restructuring led by its new CEO, Philipp Navratil, who took over in September.
“The world is changing, and Nestle needs to change faster,” Navratil said in a statement.
Of the total job cuts, 12,000 will be white-collar or administrative jobs. These layoffs will save 1 billion Swiss francs (approximately $1.25 billion USD). This figure is in addition to another 4,000 layoffs already underway in production and supply chain areas.
Following the announcement, Nestle shares rose more than 8%, reaching 82.30 Swiss francs (approximately $103 USD) per share. Markets reacted positively to the new cutback plan, interpreting it as a move to improve the company's efficiency in the short and medium term.
In the same report, Nestle reported a 1.9% drop in sales for the first nine months of 2025, with revenue of 65.9 billion Swiss francs (approximately $83 billion USD). However, it also reported organic growth of 3.3%, driven by price increases of 2.8%.
Navratil also raised the savings target to 3 billion Swiss francs (approximately $3.75 billion USD) by 2027. This goal represents an increase from the previous target of 2.5 billion.
The announcement comes after a period of internal turmoil. In September, Nestle fired its previous CEO due to an intra-office relationship. Added to this was the early departure of the chairman of the board. Both events affected the stability of the company, already battered by a scandal in France related to its bottled water.
Financial analysts indicate that Navratil seeks not only to clean up Nestle's finances,but also to restore internal confidence and project an image of strong leadership to investors.
The company, which owns more than 2,000 global brands, has seen slower growth since 2022, creating pressure to accelerate structural changes.
Although the statement did not mention how this measure will affect workers in the United States, it is estimated that the company has around 50,000 employees in the country.