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Global consumer goods leader the Swiss conglomerate stated it will cut sixteen thousand positions within the coming 24 months, as the recently appointed chief executive Philipp Navratil advances a strategy to focus on products offering the “most lucrative outcomes”.

The Swiss company needs to “adapt more quickly” to keep pace with a changing world and adopt a “results-oriented culture” that does not accept losing market share, according to the CEO.

He took over from ex-chief executive Laurent Freixe, who was terminated in the ninth month.

These workforce reductions were made public on the fourth weekday as Nestlé reported better performance metrics for the initial three quarters of the current year, with higher product movement across its primary segments, such as hot drinks and snacks.

Globally dominant packaged food and drink company, this industry leader operates numerous product lines, like well-known names in coffee and snacks.

The company intends to get rid of 12,000 white collar jobs in addition to four thousand other roles across the board over the coming 24 months, it stated officially.

These job cuts will save the consumer goods leader approximately CHF 1 billion annually as part of an ongoing cost-savings effort, it confirmed.

Its equity price was up 7.5% shortly after its quarterly update and layoff announcement were announced.

Nestlé's leader said: “We are building a corporate environment that welcomes a achievement-oriented approach, that does not accept losing market share, and where winning is rewarded... Global dynamics are shifting, and Nestlé needs to change faster.”

Such change would involve “difficult yet essential choices to trim the workforce,” he added.

Financial expert an industry specialist remarked the update signalled that Nestlé's leader aims to “bring greater transparency to sectors that were previously more opaque in Nestlé's cost-saving plans.”

The workforce reductions, she said, appear to be an effort to “adjust outlooks and rebuild investor confidence through measurable actions.”

Mr Navratil's predecessor was sacked by the company in the beginning of the ninth month following a probe into whistleblower allegations that he omitted to reveal a personal involvement with a immediate staff member.

Its departing chairman the ex-chairman moved up his leaving schedule and resigned in the corresponding timeframe.

It was reported at the time that investors blamed the former chairman for the firm's continuing challenges.

The previous year, an investigation revealed its baby formula and foods available in low- and middle-income countries had undesirably high quantities of sweeteners.

The research, by a Swiss NGO and the International Baby Food Action Network, established that in many cases, the identical items marketed in affluent markets had zero additional sweeteners.

• Nestlé owns numerous labels internationally.
• Layoffs will involve sixteen thousand employees during the next two years.
• Cost reductions are estimated to total 1bn SFr each year.
• Equity rose significantly after the news.