The job market’s volatility has triggered a significant rise in CEO departures across the United States, with California leading the nation in executive turnover. A recent report from workplace consultants at Challenger, Gray & Christmas reveals that 1,650 CEOs lost their positions in the first nine months of 2025. This represents a continuation of a two-year trend marked by increased turnover among top-level executives.
The numbers show a slight decrease from 2024, when 1,652 CEOs exited their roles during the same period. However, both figures starkly contrast with the average of 1,004 executives leaving their positions each year over the past nine years, resulting in a notable 64% increase in turnover at the highest management levels. This trend reflects the growing challenges businesses face in an uncertain economic environment.
California’s Dominance in Executive Exits
California has registered the highest number of CEO departures in 2025, with 194 CEOs exiting their roles. Texas closely follows with 132 departures, while North Carolina and Florida report 102 and 98 exits, respectively. California’s prominence in these figures aligns with its status as the nation’s largest economy, housing a workforce of 18 million, which constitutes approximately 11% of the total U.S. workforce of 159 million.
Moreover, California accounts for 11% of the companies listed on the S&P 500, and 13% of the INC. 5000, which recognizes America’s fastest-growing companies. This substantial economic influence explains why California’s share of CEO departures stands at 12% of the national total. Despite this, the state saw only a modest increase of five departures compared to the previous year.
The largest increases in CEO turnover occurred in Texas, with an additional 28 departures, followed by Georgia with 24, and Indiana with 18. Conversely, Massachusetts reported the largest decline, with 26 fewer departures, followed by Washington state and North Carolina, both experiencing decreases of 18 and 17, respectively.
Impact of Layoffs and Economic Trends
In parallel with the rise in CEO turnover, California has also seen a significant number of announced layoffs. According to Challenger, 158,700 workers have been affected by layoff plans in the state during the first ten months of 2025. This figure represents the second-largest number of job cuts in the nation, accounting for 14% of the estimated 1.1 million total layoffs across the United States.
The highest number of layoffs occurred in Washington, D.C., with 303,800 cuts. New York, Georgia, and Washington state followed, with layoffs of 81,701, 78,049, and 77,700, respectively. In comparison, California’s economic competitors, Texas and Florida, ranked seventh and ninth, with 46,400 and 22,800 planned layoffs.
Notably, California’s planned layoffs for 2025 have risen by 16% compared to the previous year, while the national average has increased by only 4%. These figures highlight significant regional disparities in the economic impact of downturns and the varied responses of businesses across the country.
This data captures the ongoing challenges businesses encounter in a shifting economic landscape, serving as a critical indicator of the current state of the job market and executive stability in the United States.
