Service Sector CEOs Still Getting Hit Despite Declining Turnover Trend

December 2, 2002 ( - The service sector saw the highest chief executive officer (CEO) turnover in November for the third time in the last five months, but the overall trend is improving according to an outplacement firm.

Challenger, Gray & Christmas said a quarter of November’s 50 CEO departures came from the service sector, which also suffered the most chief executive departures in September and July.

The good news from the monthly Challenger report is that November’s CEO musical chairs were 32% lower than October’s 73 (See  CEO, CFO Turnover Increases ) and 28% lower than the same time a year earlier. Also, year-to-date CEO departures were 685, 21% lower than the same period last year.

Volatility in the service sector is also claiming many chief financial officers (CFO), the Challenger report said.

Of the 45 November CFO changes — which equal the number of changes in the previous month – 20% percent came from the service sector. So far this year, a total of 384 CFOs have vacated their posts.