CBS's Decision on Moonves Sends a 'Confusing Message'
*By Madison Alworth*
The decision by CBS's board of directors to [keep](https://cheddar.com/videos/moonves-scandal-may-pave-the-way-for-cbs-viacom-merger) Les Moonves as CEO after allegations of sexual harassment by half a dozen women may have drawn public scrutiny, but the company's internal culture is also at risk, said Ripa Rashid, co-president at the Center for Talent Innovation.
"When leaders are alleged to be predators, it has a big fallout effect," Rashid said Tuesday in an interview with Cheddar.
Her non-profit think tank [published](http://www.talentinnovation.org/_private/assets/WhatMeTooMeans_KeyFindings-CTI.pdf) a study in July that charts the effects of workplace harassment on companies in the era of the #MeToo movement.
CTI surveyed 3,213 respondents, men and women, age 21 to 65. The data revealed that approximately one in three women have been harassed in the workplace, and, Rashid said, this can dramatically change any company's atmosphere ー and hurt its profits.
"Organizations need to take a stand, boards need to take a stand. Not just because it's a moral right thing to do, there's financial impact," she said.
According to CTI, victims of harassment are more likely to feel professionally unsatisfied, and their colleagues who are aware of the harassment are also more likely to experience disillusionment at work.
"The toxic corporate culture we find in our studies, people feel disengaged from \[it\]. They feel less likely to trust that organization. And people are going to start to look for other jobs," Rashid said.
For more on this story, [click here](https://cheddar.com/videos/how-corporations-are-impacted-in-the-wake-of-sexual-harassment-allegations).
Nestlé has dismissed its CEO Laurent Freixe after an investigation into an undisclosed relationship with a direct subordinate. The company announced on Monday that the dismissal was effective immediately. An investigation found that Freixe violated Nestlé’s code of conduct. He had been CEO for a year. Philipp Navratil, a longtime Nestlé executive, will replace him. Chairman Paul Bulcke stated that the decision was necessary to uphold the company’s values and governance. Navratil began his career with Nestlé in 2001 and has held various roles, including CEO of Nestlé's Nespresso division since 2024.
Kraft Heinz is splitting into two companies a decade after they joined in a massive merger that created one of the biggest food companies on the planet. One of the companies will include brands such as Heinz, Philadelphia cream cheese and Kraft Mac & Cheese. The other will include brands like Oscar Mayer, Kraft Singles and Lunchables. When the company formed in 2015 it wanted to capitalize on its massive scale, but shifting tastes complicated those plans, with households seeking to introduce healthier options at the table. Kraft Heinz's net revenue has fallen every year since 2020.
