AI Boom and Talent War Are Propelling HR and IT Leaders into Top Pay Rung

NEW YORK, March 17, 2026 /PRNewswire/ -- In the race for talent and digital transformation, HR and IT leaders are winning at the pay table.

Chief Technology Officers and Chief Human Resources Officers are appearing more frequently among named executive officers (NEOs)—the five highest-paid executives at public companies. From 2021 to 2025, the number of CTOs named as NEOs in the Russell 3000 increased by 61%, while CHRO NEOs rose 55%.

While more HR and IT leaders have moved into the top rung, there's been a decline in business unit leaders—positions such as top division executives or presidents of subsidiaries. Their representation declined by 15% from 2021 to 2025.

These and other shifts signal what functions boards view as most material to company performance and risk. While CEOs and Chief Financial Officers are mandatory NEOs, the remaining highest-paid positions are increasingly occupied by executives with enterprise-wide mandates spanning legal, technology, talent, and commercialization.

Report findings are based on proxy statements by Russell 3000 and S&P 500 companies filed through December 3, 2025.

Rising NEOs
Amid the AI boom, the share of NEO Chief Technology Officers increased by 61% in the Russell 3000.

• From 2021 to 2025, CTO NEOs increased by 61% in the Russell 3000—from 155 disclosures to 249.

Amid the talent war, the share of NEO CHROs increased by 55%.

• From 2021 to 2025, CHRO NEOs increased by 55%—from 148 disclosures to 230.

"Growth in CHRO and CTO roles signals that talent, culture, and digital capability are now viewed as enterprise risks, not support functions. Boards are prioritizing leaders who shape resilience and transformation across the organization," said Andrew Jones, coauthor of the report and Principal Researcher at The Conference Board. 

Top Three Ranking NEO Roles
(CEO and CFO disclosures are mandatory and therefore excluded from trend comparisons)

Business unit leaders remain dominant—but are receding.

• Still the largest non-mandatory NEO category, business unit leader roles declined 15% in the Russell 3000 from 2021 to 2025, falling from 1,734 to 1,475 disclosures.

Legal roles are gaining ground fastest.

• Legal roles—including CLOs, corporate secretaries, and general counsels—saw the largest increase of any non-mandatory NEO category, rising 21% over the same period, from 1,154 to 1,390 disclosures.

COO representation remains high but has leveled off.

• COO disclosures increased 6% from 2021 (849 to 901), but declined from a recent peak in 2023 (990), suggesting a plateau.

"The growth in legal NEO roles shows how regulatory, litigation, and enterprise risk are becoming central to executive decision-making. As governance and compliance pressures mount, boards are bringing legal leaders closer to the center of power," said Dana Etra, Managing Director at FW Cook.

Gender Pay Trends
Among S&P 500 NEOs, women Chief Marketing Officers earn nearly 40% more than men. 

• In 2025, female CMOs in the S&P 500 earned nearly 40% more than male CMOs.

At the CEO level, women outearn men.

• In 2025, women CEOs earned 11% more in the S&P 500 and 3% more in the Russell 3000.

But male NEOs outearn female NEOs.

• Male NEOs earned 8% more in the S&P 500 and 12% more in the Russell 3000.

"Gender pay differences largely reflect who holds which roles. Men remain more prevalent in higher-paid operational and commercial roles, have longer NEO tenure on average, and are more likely to work at larger companies with higher compensation," said Paul Hodgson, lead author of the report and Senior Advisor to ESGAUGE.

NEO Pay by Market Cap
NEO compensation grew faster in the Russell 3000 than in the S&P 500.

• From 2024 to 2025, median NEO compensation increased 8% in the Russell 3000, compared with 5% in the S&P 500.

"NEO pay growth in the S&P 500 was targeted, not broad. Large-cap companies focused increases on roles tied to enterprise-wide risk and control, especially CHROs and CLOs, rather than raising compensation across the board," said Jonathan Reinstein, Counsel at Ropes & Gray LLP.

About The Conference Board
The Conference Board is the member-driven think tank that delivers Trusted Insights for What's Ahead®.
Founded in 1916, we are a non-partisan, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States. TCB.org

About ESGAUGE
ESGAUGE is a data mining and analytics firm uniquely designed for the corporate practitioner and the professional service firm seeking customized information on US public companies. It focuses on disclosure of environmental, social, and governance (ESG) practices such as executive and director compensation, board practices, CEO and NEO profiles, proxy voting and shareholder activism, and CSR/sustainability disclosure. Our clients include business corporations, asset management firms, compensation consultants, law firms, accounting and audit firms, and investment companies. We also partner on research projects with think tanks, academic institutions, and the media. www.esgauge.com

About FW Cook
FW Cook is an independent consulting firm that provides objective advice to boards and management of the world's leading companies. Our objective is to add value to the executive pay programs and processes of our clients. We collaborate with our clients to solve complex problems and design programs that support their business strategy and successfully link executive pay to shareholder value. Founded in 1973, we serve public, private, and tax-exempt organizations across a broad spectrum of industries. To learn more about us or to join our mail list, visit us on the web at www.fwcook.com

About Ropes & Gray LLP
Ropes & Gray LLP, a preeminent global law firm, has been ranked in the top three on The American Lawyer's prestigious "A-List" for nine consecutive years. The firm has more than 1,500 lawyers and legal professionals serving clients in major centers of business, finance, technology, and government in New York, Boston, Chicago, Los Angeles, San Francisco, Silicon Valley, Washington, D.C., London, Dublin, Milan, Paris, Hong Kong, Seoul, Singapore, and Tokyo. The firm has consistently been recognized for its leading practices, including asset management, private equity, M&A, finance, real estate, tax, antitrust, life sciences, healthcare, intellectual property, litigation & enforcement, privacy & cybersecurity, and business restructuring. www.ropesgray.com

SOURCE The Conference Board