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Global consumer goods leader Nestlé has declared it will cut 16,000 positions over the next two years, as the recently appointed chief executive Philipp Navratil advances a initiative to concentrate on products offering the “highest potential returns”.

This multinational corporation has to “evolve at a quicker pace” to stay aligned with a dynamic global environment and embrace a “results-oriented culture” that rejects ceding ground to competitors, according to the CEO.

He took over from former CEO Laurent Freixe, who was terminated in last fall.

The job cuts were disclosed on Thursday as Nestlé announced better sales figures for the first three-quarters of the current year, with higher product movement across its key product lines, including coffee and sweets.

Globally dominant consumer packaged goods corporation, this industry leader operates hundreds of brands, like Nescafé, KitKat and Maggi.

The company aims to eliminate twelve thousand administrative roles alongside 4,000 further jobs across the board over the coming 24 months, it announced publicly.

These job cuts will result in savings of the corporation approximately one billion Swiss francs each year as part of an continuous efficiency drive, it stated.

The company's stock value was up seven and a half percent soon after its performance report and restructuring news were made public.

The CEO stated: “We are building a culture that embraces a results-driven attitude, that does not accept competitive setbacks, and where achievement is incentivized... The world is changing, and we must adapt more rapidly.”

This transformation would involve “difficult yet essential choices to trim the workforce,” he said.

Equity analyst a financial commentator said the announcement signalled that Nestlé's leader seeks to “increase openness to aspects that were formerly less clear in Nestlé's cost-saving plans.”

These layoffs, she noted, are likely an attempt to “adjust outlooks and regain market faith through measurable actions.”

Mr Navratil's predecessor was terminated by the company in early September subsequent to an inquiry into reports from staff that he omitted to reveal a private liaison with a junior employee.

The company's outgoing chair Paul Bulcke accelerated his exit timeline and resigned in the corresponding timeframe.

Media stated at the moment that shareholders blamed the former chairman for the company's ongoing problems.

Last year, an investigation found infant nutrition items from the company marketed in low- and middle-income countries had unhealthily high levels of sugar.

The research, conducted by non-profit organizations, established that in many cases, the identical items sold in wealthy countries had no added sugar.

• The corporation manages numerous product lines worldwide.
• Workforce reductions will involve 16,000 employees during the upcoming biennium.
• Cost reductions are estimated to amount to one billion Swiss francs each year.
• Share price rose seven and a half percent following the update.