Australian design platform Canva has announced a major restructuring that will affect 1,271 employees, representing around 22% of its workforce. The changes will include job cuts, role adjustments and relocation requests, as the company looks to simplify its operations and prepare for its next phase of growth.
In an email to employees on November 4, co-founder and CEO Melanie Perkins described the decision as the hardest moment in Canva’s 13-year history. She said the company had experienced its toughest year yet, with growth slowing for the first time in a decade.
Canva has not disclosed how many employees will lose their jobs. Some workers will be asked to move to centralised hubs, while others may take on revised roles.
Why Is Canva Restructuring?
Perkins said the company had explored several alternatives before concluding that smaller changes would not be sufficient. The restructuring aims to bring teams together, reduce overlapping responsibilities and give employees greater ownership of projects.
Canva will merge its Product, Growth and Platform divisions into a single Product Organisation. It also plans to reduce management layers and combine specialised roles into broader responsibilities.
The company is also changing its workplace strategy. Sydney will become the primary base for more product teams and certain other functions. Most hybrid employees are expected to work from the office two to three days a week from January, depending on their location and role.
AI Competition and Slowing Growth
The restructuring comes as artificial intelligence reshapes the design software industry. Canva is seeking to adapt its products and organisational structure to changing technology and customer expectations.
The company had also lowered its 2026 revenue growth forecast from 30% to 20% in August, according to reports. Perkins said growth had slowed for the first time in 10 years.
Support for Affected Employees
Canva said employees leaving the company will receive at least six months of salary, including statutory entitlements. The support package also includes continued healthcare coverage for up to 12 months in eligible countries, career coaching and interview preparation.
Employees will also receive one year of LinkedIn Premium and be allowed to keep their company-issued MacBooks. Canva is additionally launching a fund offering US$10,000 grants to eligible departing employees who want to start businesses or community projects.
The company said it would continue supporting affected employees through the transition.
