C Suite turnover conundrum! Generally C Suite turnover rates follow a pattern that indicates what the future trend will be. And they generally correlate with broader job growth statistics. This has not been the case in September, nor in August. Statistics Canada, U.S. Government's Bureau of Labor Statistics and ADP's employment report for September were all more positive and reflected solid, steady growth. The lack of parallelism is a bit of an enigma.
Declines were significant from September last year and somewhat more positive when looking at September v/s August 2014. Year over year declines in September were as follows: overall C Suite declines came in at 5%, CEO turnover was down 17%, CFO turnover declined 7% and Board changes declined 14%. September 2014 v/s August 2014 turnover numbers were as follows: overall C level +6%, CEO's +11%, CFO's - 12% and Board of Director changes -9%.
Executive turnover activities break down as follows:
Although executive turnover has been somewhat erratic this year with the first and second quarters both showing a solid up-tick in activity and the 3rd quarter taking a downward turn, we're optimistic that the year will play out on the positive side - largely because a decline is out of sync with the broader employment market activity.
Time will tell.