Hospital CEO Turnover Rate Declines Slightly
After hitting a high mark in 2013, the turnover rate of hospital CEOs declined slightly in 2014. According to a recent report from the American College of Healthcare Executives (ACHE), the turnover rate in 2014 was 18 percent. Last year’s survey found that hospital CEO turnover reached 20 percent in 2013 -- the highest turnover rate since 1981.
The highest turnover state in 2014 was Rhode Island, with an adjusted CEO turnover rate of 44 percent, followed by Mississippi and Washington, each with rates of 27 percent. Delaware was at the bottom of the list, with a zero percent turnover rate.
ACHE leaders noted that an elevated turnover rate seems to be the norm in today’s healthcare climate, as CEOs must cope with increasing demands. They are expected to lead in the face of a growing number of challenges, including consolidation among organizations and a rapidly changing and evolving industry. Additionally, a number of leaders from the Baby Boom generation are retiring, leaving vacancies.