Canva Cuts or Relocates 1,271 Jobs, 22% of Staff, as Growth Slows for the First Time in a Decade
Staff face layoffs, new roles or moves to central hubs as Canva merges product, growth and platform teams and makes Sydney the main home for more product teams.
Canva announced a restructuring that affects 1,271 employees, or 22% of its workforce, after growth slowed for the first time in a decade. In a message to staff, co-founder and Chief Executive Melanie Perkins called it "the hardest moment" in the company's 13-year history and said small changes would not be enough. Some employees will lose their jobs, while others will change roles or be asked to move to central hubs. Perkins did not say how many will lose their jobs.
What is changing
| Area | Change |
|---|---|
| Team structure | Product, growth and platform teams merge into one product organization, with smaller, more autonomous teams |
| Roles | Fewer niche specialties, with specialized roles combined into broader positions |
| Management | Fewer management layers |
| Locations | Sydney becomes the primary home for more product teams; some staff are asked to move to central hubs |
| Office policy | From January, most hybrid employees are expected in the office two to three days a week |
| Rationale | Growth slowed for the first time in a decade, which Perkins tied to rapid technological change and shifting user expectations |
By our calculation, 1,271 affected roles at 22% of the workforce implies a company of roughly 5,800 people. Canva did not give a headcount in the material we reviewed, so this is our arithmetic, not a company figure. The company has not said how the 1,271 split between job losses, role changes and relocations.
Support for departing staff
- At least six months of salary, including statutory entitlements, regardless of location.
- The one-year vesting cliff is removed for recent joiners.
- Twelve months of healthcare cover where Canva currently provides it.
- A US$10,000 grant through the Canva Collective Fund, with registration open until Dec. 14.
The AI backdrop
The overhaul comes as artificial intelligence reshapes the software industry and reduces demand for specialized roles, according to the report on the announcement. Perkins said Canva needs to refound itself around small, empowered teams as the way customers create content changes. Canva was founded in Sydney in 2013, has teams in 37 countries and serves hundreds of millions of users.
What to watch
- Scale of job losses. How many of the 1,271 affected roles end in layoffs versus reassignment or relocation.
- Timing. Affected staff were due to be notified individually by senior leaders, so details may emerge over the coming days.
- Growth. Whether the smaller-team structure restores growth, and how Canva describes its AI plans.
- Related coverage. See our reports on the Nasdaq tech selloff, Upwork and Palantir.
Sources: Canva's message to staff, as reported on Nov. 3 U.S. time and Nov. 4 in Sydney. Canva is privately held, and its figures are as reported and have not been independently audited. Items labeled by our calculation are our own arithmetic. This article is informational only and is not investment advice.
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