The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Study finds CFO resignations rocketed in 2004

CFO resignations at Fortune 500 companies went up 21% during 2004 and overall turnover rose 23%, according to a study by Russell Reynolds Associates.

The global executive recruiting and assessment firm conducted a study in the first quarter of 2005 analyzing the rate of change in 2004 from 2003 among CFOs, controllers and treasurers of Fortune 500 companies.

"The increased and relentless pressures of Sarbanes-Oxley compliance and the competitive drive to beat the numbers every quarter are two factors driving rising turnover among financial officers," said Lorraine Hack, a member of Russell Reynolds Associates' Financial Officers Practice. "Many CFOs and controllers rise to the occasion; but some decide to opt out of public company top roles, too. Being a financial officer of a publicly traded company has become more challenging and less attractive with compliance demands, so companies must keep scouting new talent."

Mirroring the CFO trend, there was a 25% increase in overall turnover of Fortune 500 controllers and a marked 400% increase in the rate of resignations. A major contributor to controller turnover is a 29% increase in the rate of promotions.

Of the three financial officers studies, only the role of treasurer showed no increase in the rate of turnover in 2004.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree