Through the end of May, 47 hospital CEOs left their posts so far this year, which is an 81% increase from departures in 2021.
The C-suite is not immune to the ongoing Great Resignation. According to a recent report released by Challenger, Gray & Christmas, hospital CEO departures are continuing to climb.
In May, 11 hospital CEOs either retired or left their current posts for new positions. This brings the total to 47 hospital CEOs departing from their positions through the end of May 2022.
This is an 81% increase from May 2021, which saw 26 hospital CEOs make exits.
Reasons for the departures could include finding better opportunities, deciding to retire, or fulfilling a postponed retirement following the pandemic.
According to Andrew Challenger, SVP of Challenger, Gray & Christmas, "The CEO exodus continues. Economic conditions, rising inflation, and recession concerns are making boards rethink leadership and leaders rethink if they want to take on these challenges."
"Inflation, staffing shortages, and possible recession concerns are giving more cause for companies to reevaluate leadership. This, after years of companies trying to figure out the right formula to attract and retain talent and create a culture of inclusion, issues that often start at the top," Challenger said in a previous statement.
CEOs changes across all industries are up to 668 departures through the end of May, the highest January through May total since the firm began tracking monthly CEO changes in 2002. 150 CEOs departed from their posts in May, a 22% increase from the 123 who made exits in April.
Government and non-profit entities, followed by technology companies, have seen the greatest number of exits, with the technology sector announcing increased job cuts in May.
"The ready capital that was available to Tech companies the last few years is starting to slow, and job cuts are following. Generally, new leaders are brought in during a period of uncertainty. Former leaders often remain with the company for a period of time, either as a consultant or continue as a Board Member or Chair to maintain institutional knowledge and have the appearance of a seamless transition," Challenger said.
Melanie Blackman is a contributing editor for strategy, marketing, and human resources at HealthLeaders, an HCPro brand.