At a Glance

  • Automatic Data Processing announced Wednesday that its treasurer, Peter Hadley, will take over as chief financial officer on July 1, succeeding current CFO Don McGuire. McGuire is stepping down after more than three years in the role.
  • Hadley, 52, joined the company in 2002 from Big Four accounting firm KPMG and has held various roles over the years, most recently as treasurer, and has also served as CFO of ADP's Global Enterprise Solutions and International Employer Services divisions.
  • McGuire, who has served as CFO since October 2021, joined the company in 1998 as vice president of finance for ADP Canada. According to securities filings, he took on the treasurer role after Kathleen Winters notified the company of her retirement.

Deep Dive

The leadership change was announced on the same day the Roseland, New Jersey-based company reported its fiscal 2025 third-quarter earnings. The company reported net income of $1.24 billion for the three months ended March 31, up from $1.18 billion in the same period last year.

Quarter-end is a common time for companies to make executive-level changes, partly because it allows for a clear demarcation of the start of a new reporting period and signals continuity, CFO Dive has previously reported.

On Wednesday's earnings call, ADP CEO Maria Black sought to emphasize a smooth transition, citing the company's "orderly succession planning," while welcoming the new CFO and thanking McGuire for his work. She also highlighted both executives' strengths in international business, calling Hadley a "global citizen" who has held finance and operations roles at ADP in Europe, Asia, and the U.S., while McGuire "profoundly" shaped the company's international business. She expressed gratitude for his work.

"As I transitioned into my role as ADP CEO, I was honored to call him a colleague and, more importantly, a friend. Don, heartfelt thanks for your countless contributions to ADP," Black said on the call transcript.

According to securities filings, Hadley's compensation will include an annual base salary of $650,000, an annual target bonus of 150% of his annual base salary, and participation in a long-term incentive compensation plan that includes performance-based stock units and restricted stock units, with an expected total annual equity award value of $4.8 million for fiscal 2026.