Hospital CEO departures are on the rise

Healthcare CEOs are participating in The Great Resignation, leaving their roles every quarter at a rising pace.

In fact, the number of CEOs who left their positions nearly doubled in the first quarter of 2022 compared to the same three-month period in 2021, according to a report from Challenger, Gray & Christmas, an outplacement & career transitioning firm. Twenty-nine hospital CEOs have departed from their roles year-to-date in 2022, compared to 15 over the same time period in 2021.

“A high rate of Americans are quitting their jobs each month, and CEOs are no exception,” Andrew Challenger, senior vice president of Challenger, Gray & Christmas, said in a statement. “Meanwhile, inflation concerns may have some boards looking to new leadership to weather the coming storm.”

The trend is similar among pharmaceutical CEOs––nine have left their positions year-to-date, compared to 3 year-to-date in 2021.

Across all industries, 395 CEOs have left their posts, up 29% from the 307 who changed positions in the first quarter of 2021, the report revealed. When CEOs leave their roles, some are taking other positions or taking on other roles within their organization. Of the 92 CEOs who have retired so far this year across industries, 28 stepped into other high-level roles within the company, such as chair or advisor, while 8 left for new opportunities.

Amid the c-suite shuffling, there is one bright spot––more women are stepping into leadership positions. The rate of women taking over the incoming CEO role ticked up to 26% so far in 2022, up from 25% in the first quarter of 2021. However,  21% of the 395 CEOs who left their posts in the first quarter of 2022 were women, up from 16.3% of the 307 who left their posts in the first quarter of 2021.

Among the healthcare/products sector, the number of CEOs who left their roles actually declined in 2022 compared to last year––34 left their posts in the first three months of 2022, down 17% from the 41 exits in the first quarter of 2021.

Amy Baxter

Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."

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