CEO Affairs with Subordinates: The Symptom of a Deeply Broken Execution Culture
It is mind-boggling that—after decades of high-profile corporate scandals—some CEOs still don’t understand what it takes to build a real execution culture, or more fundamentally, how to actually execute. The recent firings at Nestlé and Astronomer underscore a fundamental, willful ignorance: leaders at the highest levels acting as if company culture and results are a side show to their own predilections, not the main event.
Let’s get serious: even if these CEO–subordinate affairs were “consensual” (which, in a power-imbalanced relationship, is almost never truly the case), the personal harassment is egregious. And, insidiously, the damage to company culture goes far beyond individual misconduct—it’s an organizational cancer.
An Affair with a Subordinate Is Always Abuse of Power
When a CEO engages in a romantic relationship with a subordinate, there is always—repeat, always—an abuse of positional power. The asymmetry is so stark that true consent can barely exist, regardless of the “voluntary” label. It’s not a secret, either: for a CEO, whose life is lived on a stage and whose every move is scrutinized, everyone is watching—and everyone knows.
Culture of Deception and Fear
The real damage is not just the scandal; it’s the suffocating culture of deception it creates. No one dares point out “the emperor has no clothes”—not in meetings, not in feedback, not even in casual conversation. But make no mistake: they’re all discussing it (and the leader) the minute the boss leaves the room.
Worse, this unethical behavior models itself to the rest of the executive team, encouraging other leaders to test boundaries and push ethical lines. Power abuse goes viral, with whispers and fear permeating the ranks. People are left confused—who is “in” with the boss, who is not, who might be sleeping with whom? Suddenly, the atmosphere is defined by nervousness and self-protection, not shared goals.
Execution Becomes Impossible
This web of fear spills into critical business discussions. People stop telling the truth; they say what the boss wants to hear. Dissent, debate, vulnerability, and the candid feedback that fuel real strategy and innovation evaporate. The company’s ability to get things done—its very capacity to execute—melts away.
When all that’s left is a culture of avoidance, deception, and power games, the only hope is that competitors are just as dysfunctional. Why? Because organizations where no one dares “call it as they see it” will never out-execute those where truth is valued higher than ego.
Recommended Next Steps for Nestlé and Astronomer
When CEOs put their personal desires above company values, the fallout extends far beyond their own careers—it undermines everything their teams have striven to build. It’s long overdue for all leaders to internalize a fundamental truth: culture is essential for execution. Violating that at the highest level is far more than a scandal; it poses an existential threat to the organization.
Nestlé and Astronomer should initiate a complete cultural reboot. This means starting fresh from the top down—redefining values, behaviors, and accountability with uncompromising rigor. Partial measures or surface fixes won’t suffice.
The time to hold leaders accountable is now—not just for the sake of corporate reputation, but for the well being of every employee, every stakeholder, and the very survival of the organizations they are privileged to lead.