Feb 04 2025 CEO Turnover Report: CEO Exits Fall From 2024; Public CEO Exits Break Record
CEO TURNOVER TICKS UP TO END THE YEAR; Public CEO Exits Break Record
The number of CEO changes at U.S. companies rose 22% to 149 in December from 123 in November. This is down 35% from the 230 CEO exits that occurred in the same month one year prior, according to a report released Wednesday by global outplacement and executive coaching firm Challenger, Gray & Christmas.
December marks the seventh consecutive month CEO exits were lower than the corresponding month one year earlier.
In 2025, 2,032 CEOs left their posts, down 9% from 2,221 CEO exits in 2024. The fourth quarter saw 383 exits, the lowest quarterly total since Q4 2022, when 266 CEO exits were recorded. It is down 7% from the 415 CEO exits recorded in the third quarter, and down 33% from the 569 CEO exits recorded in the same quarter one year earlier.
After seeing the highest quarter total of CEO exits on record in the first quarter of 2025, exits slowed in each of the subsequent quarters.
“The election seemed to set off a wave of leadership exits at the end of 2024 and into the start of last year. But after months of rapid-fire change in the face of geopolitical unrest, policy shifts, economic uncertainty, and evolving technology, companies are signaling some stability,” said Andy Challenger, labor and workplace expert and chief revenue officer for Challenger, Gray & Christmas.
While CEO exits have dropped over the course of the year, CEOs from publicly traded companies saw their most active year on record. Challenger tracked 446 CEO exits at publicly traded companies in 2025, the highest annual total on record and up from 373 in 2024.
Meanwhile, December recorded the youngest average age of departing CEOs of any month since Challenger began tracking CEO exits in 2002. The average age for departing CEOs was 51.5 in December. The previous low was just over 52.
“Modern boards are no longer allowing CEOs to stay in their highly-paid positions if they’re not seeing results, and often CEOs have one or two quarters to prove effectiveness.
“CEOs may be exiting younger because they are expected to prove themselves quickly and fall short. On the other hand, CEOs’ skills are in high demand, and experienced leaders have agency to take new opportunities when they arise, even if their experience doesn’t translate into a long tenure,” said Challenger.
Women CEOs
The rate of new CEOs who are women fell 0.2 percentage points in December for a year-to-date rate of 25.4%. This is compared to 26.1% of new women CEOs appointed in 2024. It is 3.3 percentage points below the peak of 28.7% of new CEOs who are women in all of 2023. It is the lowest rate for women rising to the CEO role since 2020, when 23% of new CEOs were women.
Meanwhile, the rate of outgoing women CEOs is 23% in 2025, compared to 22% in 2024. This suggests a slightly higher rate of women are leaving the CEO role than one year prior.
What industries saw turnover in 2025?
Government/Non-Profit led all industries with 427 CEO exits through December 2025, including 33 in December, all of which occurred in Non-Profits. This is down from 493 CEO exits recorded in 2024, a decline of 13% year over year.
Technology followed with 208 CEO exits year-to-date, 9 of which occurred in December. While below earlier peaks, the sector remains one of the highest for turnover in 2025 and is down from the 226 CEO exits recorded in 2024, a decrease of 8%.
Hospitals reported 111 CEO exits year-to-date, with 4 in December. This is up 7% from the 104 hospital CEO exits recorded in 2024.
Financial firms announced 11 CEO exits in December, bringing the year-to-date total to 127, a 13% increase from the 112 CEO exits recorded in 2024.
Entertainment/Leisure companies reported 151 CEO exits in 2025, including 7 in December. This is down 3% from the 155 CEO exits recorded in 2024.
Retail companies reported 51 CEO exits year-to-date, including 3 in December. This represents a 28% increase from the 40 CEO exits recorded in 2024.
Consumer Products firms have announced 76 CEO exits in 2025, including 12 in December. This is down 5% from the 80 CEO exits recorded in 2024.