Become more informed in minutes...

A new Harvard Business Review analysis of leadership teams across S&P 500 companies has found that most executives reach the C-suite through long-term internal promotion rather than external hiring. The study, which examined nine common executive leadership roles across S&P 500 firms, found that nearly 60% of C-suite functional leaders were promoted internally, rising to as high as 80% in some positions. Internally promoted executives had spent an average of 16 years with their companies, while externally hired executives were often recruited because they had previously held the same role elsewhere. Researchers also found that CEO transitions frequently trigger wider leadership reshuffles. The analysis showed that representation of women and historically underrepresented groups in C-suite roles has risen to 43%, although diversity varies significantly by function. Human resources and communications roles showed the highest representation, while CEO and COO positions remained far less diverse. The report concluded that aspiring executives increasingly need broader leadership capabilities beyond technical expertise, including strategic influence, cross-functional collaboration, and experience leading teams through uncertainty and change.

 

Harvard Business Review

BILL Spend & Expense financial impact report

Explore survey results to see how finance teams save time, improve cash flow, and fight fraud with BILL Spend & Expense.

"[BILL Spend & Expense] has been a game-changer for us. Giving us credit provided a lifeline that allowed us to go from a $2 million business to a $7 million business in 2 years. They not only provided the capital but also the organization needed to scale."

- CFO and BILL Spend & Expense user

Download Report

 

The threat posed to workers by artificial intelligence is giving employers more leverage, and CEOs are increasingly demanding results and holding people accountable for them. The focus now is on building a “performance culture” - a phrase used 633 times on earnings calls and in corporate documents, up from about 460, across companies in the S&P 500 Index last year - where expectations of workers soar, underperformers risk getting managed out and executives are less forgiving of bureaucratic impediments to efficiency. Ben Bryant, a professor of leadership and organization at Switzerland’s IMD Business School, wonders: “What will be sacrificed in the interests of performance?” Bloomberg observes that employee mental health, which business leaders prioritized during the pandemic, could once again get short shrift. 

 

Bloomberg

JPMorgan CEO Jamie Dimon ​has told Bloomberg News that the bank will likely hire more artificial intelligence specialists and fewer traditional bankers. "There will be all different types of jobs, and I think we will be hiring more ​AI people and fewer bankers in certain categories, ​and it will make them more productive," ⁠Dimon said at ​the bank's China Summit in Shanghai, adding: "I think it will ​reduce our jobs down the road." JPMorgan's annual attrition rate of about 10%, or roughly 25,000 to 30,000 employees, ​means it can manage these changes gradually, ​Dimon said. He observed that the bank could retrain staff, redeploy ‌workers ⁠or offer early retirement instead of widespread layoffs.

 

Bloomberg

President Donald Trump has postponed plans to sign an executive order on artificial intelligence (AI) because he said he was worried the measure could weaken America’s edge on AI technology.  “I didn’t like certain aspects of it,” Trump said of the order. “We’re leading China, we’re leading everybody, and I don’t want anything that’s going to get in the way of that lead.” AI was also “bringing in a lot of jobs”, Trump said. The order would have established a framework for the government to vet the national security risks of the most advanced AI systems before their public release, according to a person familiar with White House deliberations. It was not immediately clear when the signing might be rescheduled.

 

AP News

Financial Times

Politico

Top Senate Democrats are demanding answers from Treasury Secretary Scott Bessent and IRS chief executive Frank Bisignano over a controversial settlement between President Donald Trump and the IRS that created a $1.776bn “Anti-Weaponization Fund” for individuals claiming they were improperly targeted under the Biden administration. In a letter sent by Sens. Elizabeth Warren (D-MA) and Ron Wyden (D-OR), the lawmakers criticized the agreement as potentially corrupt and raised concerns that the fund could benefit Trump allies or individuals connected to the January 6th Capitol attack. They also questioned provisions that appear to shield Mr. Trump, his family, and affiliated businesses from certain ongoing or potential IRS audits and investigations. The settlement stems from Trump’s $10bn lawsuit against the IRS after a former government contractor pleaded guilty to leaking confidential tax records of Trump and other wealthy individuals. “This is an unprecedented remedy,” said former IRS Commissioner Daniel Werfel. “People expect the same tax rules and enforcement framework to apply to everybody.” “The president and his affiliates might not pay the taxes they should,” added Brandon DeBot, policy director at New York University’s Tax Law Center. “This is giving the president and his affiliates completely different set of rules than everyday taxpayers.”

 

ABC News

AP News

New York Times

New U.S. unemployment claims fell last week, signaling continued labor market resilience despite rising inflation pressures tied to the conflict involving Iran and ongoing global supply chain disruptions. Initial claims for state unemployment benefits declined by 3,000 to 209,000 for the week ended May 16th, remaining near historically low levels even as technology companies continue to announce layoffs linked to artificial intelligence adoption. The four-week moving average fell to 202,500, the lowest since 2024, while continuing claims, reported with a one week lag, increased 6,000 to a seasonally-adjusted 1.782m. "We still can't rule out some spillover effects from the war and the spike in oil prices on to the labor market, which ​we have always expected would come with a lag," commented Matthew Martin, a senior U.S. economist at Oxford Economics. "But for now, we think the labor market ​is showing enough stability to allow the Fed to feel comfortable keeping policy steady."

 

ABC News

Bloomberg

Reuters

Wall Street Journal

U.S. manufacturing activity accelerated to its strongest level in four years in May as businesses increased inventories to protect against supply disruptions and rising costs linked to the conflict involving Iran, according to an S&P Global survey. S&P Global’s flash manufacturing PMI rose to 55.3 in May from 54.5 in April, marking the highest reading since May 2022 and beating economists’ expectations for a decline to 53.8. A reading above 50 indicates expansion. The increase offset a slight slowdown in services activity, leaving the flash U.S. Composite PMI Output Index unchanged at 51.7. Manufacturers boosted input inventories to an 11-month high amid concerns over shortages and price increases tied to shipping disruptions in the Strait of Hormuz, which have affected supplies of goods including fertilizers, aluminum, and consumer products. Supplier delivery times also lengthened to levels last seen in August 2022. The report also showed mixed labor trends, with manufacturing employment improving, while services sector hiring weakened, pushing overall private-sector employment to a 21-month low.

 

Reuters

Walmart maintained its conservative full-year sales and profit guidance despite reporting stronger first-quarter revenue growth, as rising fuel costs and inflation continued to weigh on U.S. consumer spending. The retailer reported first-quarter net sales growth of 7.1% to $175.7bn, while operating income rose 5% to $7.49bn. U.S. comparable sales increased 4.1%, ahead of expectations, and e-commerce sales jumped 26% as higher-income shoppers increasingly used Walmart’s delivery services and sought lower prices. Average customer transactions rose 3% during the quarter, although spending per visit slowed to 1.1% from 2.8% a year earlier. Chief executive John Furner and chief financial officer John David Rainey warned that consumers were showing signs of financial strain as fuel prices approached $4 per gallon amid the ongoing conflict involving Iran.

 

Arkansas Democrat-Gazette

NPR

New York Times

Reuters

Starbucks has discontinued an artificial intelligence (AI)-powered inventory counting system across its North American stores less than a year after deploying the technology as part of chief executive Brian Niccol’s turnaround strategy. The automated counting tool, introduced in September 2025, was designed to improve inventory accuracy and reduce product shortages by using LIDAR and camera technology to scan milk, syrups, and other beverage ingredients. However, the system frequently miscounted and mislabeled products, according to Reuters reporting and employees familiar with the program. Starbucks said the decision was made to standardize inventory counting processes across stores while the company continues to focus on operational consistency and broader supply chain improvements. Employees will now return to manually counting beverage inventory in the same way as other product categories.

 

Reuters

Spotify and Universal Music Group have signed a licensing agreement that will allow users to create artificial intelligence (AI)-generated song covers and remixes from participating artists, as the streaming platform looks to drive growth through higher-spending “superfan” experiences. The AI remix and cover tools will be offered as a paid add-on within Spotify’s app, with the companies saying the initiative is designed to generate additional royalties for artists and songwriters. Spotify shares rose 14% following the announcement. The partnership forms part of Spotify’s broader push to diversify revenue beyond traditional music subscriptions through products including AI-generated “personal podcasts,” premium fan memberships, exclusive concert ticket access, and expanded audiobook subscription tiers.

 

Financial Times

Estée Lauder and Spain’s Puig Brands have ended talks over a potential business combination, bringing to a close months of speculation that the two beauty groups could merge to create one of the world’s largest cosmetics companies. Estée Lauder said it will instead remain focused on its ongoing turnaround strategy, with chief executive Stéphane de La Faverie reiterating confidence in the company’s brands and standalone growth prospects. The U.S. beauty group, which owns brands including Clinique, M.A.C, and Bobbi Brown Cosmetics, had confirmed in March that it was in discussions to acquire Puig, whose portfolio includes Carolina Herrera, Charlotte Tilbury, and Byredo. Analysts had highlighted significant integration and execution risks surrounding a potential deal, particularly given Estée Lauder’s restructuring efforts and slowing growth across prestige fragrance and skincare markets. The company added that it will continue reviewing its portfolio, including possible acquisitions and disposals, to support future growth.

 

Bloomberg

Financial Times

Wall Street Journal

Volkswagen CEO Oliver Blume has sought to calm workers by telling them that the company is not currently in talks with Chinese ​manufacturers regarding overcapacity at its car plants in Europe - although the problem does need to ‌be addressed. "We still have excess capacity at our plants in Europe and Germany. We need ​to address this in order to remain competitive," Blume told a general assembly of workers in Wolfsburg, adding that ⁠there were "currently no plans or discussions with Chinese manufacturers." Works council head Daniela Cavallo urged an end to speculation over the future of the German sites. "One gets the impression that Volkswagen is almost a takeover target ⁠and ​needs to be rescued," Cavallo told the general assembly.

 

Reuters

Victoria’s Secret will change its stock ticker symbol from “VSCO” to “VSXY” on June 2 as the retailer seeks to reinforce a brand identity centered on “celebrating sexy in all its forms.” The Columbus-based lingerie group said the new ticker reflects greater confidence in the company’s positioning and evolving image. Chief executive Hillary Super said “VSXY” represents the company “standing fully in our identity” while aiming to inspire confidence and joy among customers. The ticker change will take effect alongside the release of Victoria’s Secret’s first-quarter financial results on June 2nd.

 

The Columbus Dispatch

Bloomberg

Wall Street Journal