VEVEY, Switzerland — Multinational CPG giant Nestlé today said it would eliminate about 16,000 jobs over the next two years as it accelerates a cost-cutting program.
“The world is changing, and Nestlé needs to change faster,” said Philipp Navratil, who took over as CEO last month, “This will include making hard but necessary decisions”
Navratil said the overhaul could pare spending by $3.7 billion in 2027, a sum that represents an increase of about 20% from the savings anticipated from a previous revitalization blueprint.
The company said it is eliminating 12,000 white-collar jobs, with another 4,000 roles being phased out over two years as Nestlé increasingly relies on automation and improved efficiencies between departments.
Nestlé employs about 277,000 people worldwide and has more than 2,000 brands, including KitKat, Purina, Nescafé, Maggi, and Blue Bottle Coffee.
The company has been hobbled by slowing sales volumes as shoppers cut back on spending and trade down to less-expensive store brands.
And, like other global food companies, Nestlé faces challenges from rising prices of coffee, cocoa beans, and other raw materials as well as consumer preferences that are shifting away from processed foods.
The company’s business in Greater China continued to underperform. Nestlé said new management was in place and it was executing its plan to transform the business.
Thorvardur de Shong
Today’s announcement came as Nestlé posted quarterly financial results that beat expectations. Sales rose 3.3% in the first nine months of 2025, but exchange-rate fluctuations meant that reported net sales were down 1.9% compared to a year earlier.
Navratil said the the company’s internal metrics suggest that Nestlé’s efforts to win back shoppers are paying off and that driving volume growth was “our number one priority.”
