Turnover Among CEOs Drops For 7th Month This Year
Turnover among CEOs dropped 25 percent in September as compared to the same month a year prior, according to a report by Challenger, Gray & Christmas outplacement company.
The number was relatively unchanged on the month, as 105 left their positions in September, compared to 101 in August.
On the year, 939 CEOs have left their positions — a 17 percent decline from the 1,132 departures through September 2008, Challenger said in a press release.
The financial sector has accounted for 87 of these departures, including Morgan Stanley CEO John Mack, who will step down at the end of the year but remain chairman.
Bank of America CEO Ken Lewis announced he will retire at the end of the year, two years sooner than scheduled.
JPMorgan Chase has restructured its executive roles, replacing co-heads Bill Winters and Steve Black with Jes Staley as CEO of its investment arm.
"The financial sector is still reeling from the impact of the current recession. Even banks that have done well navigating this recession, such as Chase, are shuffling management in preparation for the future," said John Challenger, chief executive officer of Challenger, Gray & Christmas.
"As these financial institutions, as well as organizations across all industries, make the transition from recession to recovery and integrate new business opportunities, regulations and objectives into their plans, succession plans are being reworked to reflect the many changes."
September was the seventh month this year that departures were lower compared to the year prior.
The health care sector continued to lead in CEO turnover, with 151 departures so far in 2009.