Fewer CEOs leading global H1 companies
Leadership advisory firm Russell Reynolds Associates reported that global CEO appointments fell to a seven-year low in the first half of 2025. Their Global CEO Turnover Index, which monitors executive transitions at the world’s largest publicly traded companies across 13 indices, documented just 114 new appointments between January and June 2025. This represents a 6% decrease compared to the same period in 2024.
Companies appear to be adopting a cautious approach amid shifting global policies, particularly following the arrival of a new U.S. administration. The firm attributes the slowdown to organizations postponing leadership changes while evaluating economic conditions and regulatory adjustments.
Despite the overall decline, the data reveals a significant change in succession strategies. For the first time, 33% of CEO transitions in H1 2025 occurred through planned succession processes—a marked increase from earlier years. Among the three new CEOs at FTSE 100 companies, all were first-time executives promoted from within. Across the board, 76% of incoming CEOs came from internal ranks, reinforcing a trend toward nurturing leadership talent from within.
This internal focus reflects a broader push for stability and consistency. After a period of raised turnover in 2024, firms now seem to favor consolidation over frequent leadership shifts. The current slowdown may also indicate a deliberate pause before expected economic adjustments take effect.
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Russell Reynolds Associates anticipates a rebound in CEO transitions later in 2025, as companies reassess their long-term plans. While the first half showed restraint, the firm suggests this could signal a temporary lull before greater movement as external pressures ease.
Historically, economic uncertainty has led to delayed executive changes, with firms hesitant to disrupt stability. The current pattern aligns with past policy transitions, where internal candidates were preferred to preserve institutional expertise during unstable times.
Corporate governance is shifting toward greater emphasis on succession planning. The dominance of internal promotions over external hires shows a preference for continuity over external appointments. For now, the figures indicate a calculated slowdown, one that may shift as economic and political conditions become clearer.
The firm’s analysis highlights how companies are recalibrating their leadership strategies in response to broader market pressures. While the first half of 2025 saw fewer CEO appointments, the underlying trend suggests a deliberate approach to governance rather than a permanent decline.
