The Great Departure has been renewed, this time at the highest level. According to new figures, CEOs around the world exited in record numbers last year, driven by the demands of artificial intelligence and investor activism.

Russell Reynolds, an international headhunting firm, says that 202 chief executives packed up and moved on in 2024, the highest number on record. The figure is up 9% on 2023.

Tech CEO turnover grew by 90%, while 43 of those CEOs who said goodbye did so under pressure from activists.

Rusty O’Kelley, co-lead on the board and CEO practice at Russell Reynolds, says new records for turnover may be set as the current political environment means CEOs also have to refine their relationships with governments.

“In addition to dealing with the needs of employees, investors and other stakeholders, CEOs will also need to carefully manage their relationships with governments, and this may well lead to even higher rates of turnover.

“The bottom line is that the job just got even harder.”

Recent elections have brought a change in the political landscape in both the UK and US, with both countries seeking lower inflation and higher growth rates.

In the US, corporate leaders are also facing pressure to change their approach to social issues such as climate change and DEI (diversity, equity and inclusion).

Many companies have chosen to end DEI schemes, while others continue to stand by their already established policies.

Russell Reynolds looks at CEOs from 13 indices around the world to calculate its figures. Nearly all indices saw a rise in departures. The S&P 500 lost 58 CEOs in 2024, up 21%.

London holds steady

But the FTSE 100 stood out as an index with relative stability. Last year’s turnover dropped by 14% to 12 departing chief execs.

This is not the first year CEO churn has reached record levels, largely seen as part of a post-Covid reset. At the time, there were expectations that CEO turnover would go through a period of “comparative calm” as boards sought “safe hands”.

Russell Reynolds says AI has had an overwhelming effect on the departure rate, with a record 40% of tech leaders moving on. Russell Reynolds’ technology practice member Sean Roberts says the world of technology is going through “profound change” due to genAI, expansion of software and investment in digital infrastructure.

“This has triggered the creation of new or growing companies requiring CEO talent. However, we have also seen expectations of increased performance or strategic change have a direct impact on the increase in CEO work.”

Improvements in succession planning are also having an effect on the CEO market. Russell Reynolds found that 85% of new CEOs were “step-up”—or internal—appointments.

Russell Reynolds has some bad news on the diversity front. The firm estimates that across the 13 indices, it will take another 72 years to reach gender parity in the CEO role.