February 28, 2024
(press release)
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The number of CEO changes at U.S. companies hit 194 to start 2024, down 5% from the 204 CEO exits recorded in December 2023. It is a 73% increase from the 112 CEO exits that occurred in the same month one year prior, according to a report released Tuesday by global outplacement and business and executive coaching firm Challenger, Gray & Christmas, Inc. January’s total is the highest in January since 2020 when 219 CEOs left their posts. Challenger, Gray & Christmas, Inc. © “Companies’ priorities are cost savings and digital transformation in 2024, and that often means choosing new leadership to implement these plans,” said Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas, Inc. Women CEOs Where are CEO Exits Happening? The Health Care/Products sector was the second-highest industry for CEO exits in January with 22. This is a 633% increase from the 3 CEO exits in the Health Care/Products during the same month last year. It is down slightly from the 24 Health Care/Products CEOs who left their post in December 2023. Technology follows with 21 CEO exits last month, up 24% from the 17 announced in the same month last year. Hospitals announced 11 CEO changes in January, a 52% decrease from the 23 exits announced at Hospitals in January 2023. Reasons for Exits Another 40 CEOs retired last month, accounting for 21% of all exits, compared to 31% of CEOs who retired in January 2023. Thirty-one CEOs “stepped down” into other C-level, advisory, or Board roles making up 16% of all exits. During the same month last year, 14% of CEOs “stepped down” into some sort of Board or advisory role within their organizations. Twelve CEOs found new positions within their organization or company hierarchy. # # # SVP Andy Challenger is available for interviews on the job market, economy, and job search process. Please contact Colleen Madden Blumenfeld for more information.
The rate of new CEOs who are women was 28.8% in January 2024, slightly lower than the 29.5% of incoming CEOs who were women in January 2023. Of CEOs who left their posts, 24% were women.
Government/Non-Profit led last month with 48 CEO exits, 42 of which occurred at Non-Profits. This is a 167% increase from the 18 CEO exits in this sector in January 2023. It is down 21% from the 61 CEO exits in this sector one month prior.
Companies most often did not disclose reasons for their CEOs’ departures last, with 74 cases (38% of all CEO exits).
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