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Food and beverage giant Nestlé has declared it will remove 16,000 jobs within the coming 24 months, as its new CEO the company's fresh leader pushes a strategy to focus on products offering the “highest potential returns”.

The Swiss company must “adapt more quickly” to stay aligned with a dynamic global environment and adopt a “achievement-focused approach” that rejects ceding ground to competitors, according to the CEO.

He took over from former CEO the previous leader, who was terminated in September.

The job cuts were disclosed on Thursday as Nestlé reported improved performance metrics for the first nine months of the current year, with increased product movement across its key product lines, encompassing beverages and confectionery.

The biggest consumer packaged goods firm, Nestlé owns hundreds of product lines, including its coffee, chocolate, and food brands.

Nestlé intends to remove 12,000 administrative roles on top of 4,000 further jobs company-wide over the coming 24 months, it said in a statement.

The workforce reduction will save the food giant about one billion Swiss francs per annum as part of an continuous efficiency drive, it confirmed.

Its equity price rose 7.5% soon after its performance report and job cuts were announced.

Nestlé's leader stated: “We are fostering a culture that welcomes a performance mindset, that refuses to tolerate competitive setbacks, and where success is recognized... The world is changing, and we must adapt more rapidly.”

Such change would encompass “hard but necessary choices to reduce headcount,” he said.

Financial expert Diana Radu said the announcement suggested that the new CEO aims to “bring greater transparency to sectors that were formerly less clear in Nestlé's cost-saving plans.”

The job cuts, she explained, appear to be an initiative to “recalibrate projections and regain market faith through tangible steps.”

His forerunner was dismissed by Nestlé in the start of last fall following a probe into whistleblower allegations that he omitted to reveal a personal involvement with a junior employee.

The former board leader Paul Bulcke brought forward his departure date and stepped down in the identical period.

It was reported at the moment that stakeholders attributed responsibility to the outgoing leader for the firm's continuing challenges.

In the prior year, an study revealed its baby formula and foods sold in low- and middle-income countries contained unhealthily high levels of sweeteners.

The research, carried out by advocacy groups, established that in several situations, the equivalent goods available in developed nations had zero additional sweeteners.

• Nestlé owns a wide array of labels worldwide.
• Workforce reductions will impact 16,000 staff members during the upcoming biennium.
• Expense cuts are anticipated to total CHF 1 billion annually.
• Share price rose 7.5% after the announcement.