Nestlé CEO Laurent Freixe has become the latest executive to step down following a workplace affair, highlighting a growing trend of leaders losing their positions due to undisclosed relationships. Despite strict workplace romance policies, cases of high-profile executives being ousted continue to surface. This raises an important question: are workplace relationship policies effective, or is it time for companies to rethink their approach?

Famous CEOs Forced Out Over Office Affairs

Freixe’s resignation followed an internal investigation into a relationship with a direct subordinate, a violation of Nestlé’s code of conduct. He now joins a long list of CEOs who have faced similar consequences:

• Andy Byron, Astronomer CEO, resigned after being caught on video with a colleague.

• Ashley Buchanan, Kohl’s CEO, was dismissed in 2024 after a romance tied to a business conflict.

• Alan Shaw, Norfolk Southern CEO, stepped down following a consensual relationship with his chief legal officer.

• Bernard Looney, BP CEO, resigned in 2023 for failing to disclose relationships.

• Jeff Shell, NBCUniversal CEO, was fired in 2023 for misconduct related to a workplace affair.

• Steve Easterbrook, McDonald’s CEO, and Brian Krzanich, Intel CEO, both lost their jobs due to relationships with subordinates.

Even non-CEOs have faced consequences: Nadine Ahn, RBC CFO, was fired in 2024 for a secret relationship with a subordinate. These cases show that workplace romances—especially when power dynamics are involved—remain one of the most career-ending risks for top leaders.

Why Workplace Romances Keep Happening

Despite strict bans, surveys show office relationships are still common. A 2024 SHRM survey found only 22% of employees disclose workplace romances, while 86% of Gen X workers keep them secret. Younger workers are even more open to risk—11% of Gen Z employees admit to dating their boss or direct report.

The challenge is that power imbalances make true consent difficult to prove, and even consensual relationships can create perceptions of favoritism. Companies ban these relationships to protect fairness, but the bans themselves often drive them underground.

Rethinking Workplace Relationship Policies

Instead of outright bans, experts suggest companies should explore transparency and accountability models. This means:

• Safe reporting channels where employees can disclose relationships privately.

• Fairness checks to prevent favoritism and ensure career opportunities aren’t biased.

• Non-punitive policies that encourage openness, rather than secrecy.

It’s not a simple fix. Extramarital affairs, reputation concerns, and favoritism risks complicate disclosure. Still, balancing human realities with ethical leadership is essential if companies want to reduce scandals like Nestlé’s latest CEO exit.