Sydney: Canva is cutting, reshaping or moving 1,271 jobs, about 22% of its global workforce, in the biggest restructure in its 13-year history. Co-founder and CEO Melanie Perkins told staff in a memo on Wednesday that growth had slowed for the first time in a decade and that small fixes would not be enough.
Perkins described the moment as "without doubt the hardest" in the company's thirteen-year history, writing that the "incredibly hard decision" meant "significant changes". "For some people, this will mean changes to their roles or being asked to relocate to centralised hubs. Sadly, it will also mean saying goodbye to teammates and friends who have helped build Canva into what it is today."
She described the year as "our hardest year yet" and said growth had slowed "for the first time in a decade".
Canva employs more than 5,700 people across 37 countries, India among them. The company has not said which teams or locations will be hit hardest, which leaves its Indian staff without a clear answer on where the axe will fall.
The restructure folds the product, growth and platform teams into one product organisation, cuts management layers and puts more power in smaller teams. Sydney becomes the primary home for more of the product teams, and from January most hybrid employees will be expected in the office two to three days a week — a sharp turn for a company that once asked staff to come in twice a quarter.
Severance runs to at least six months' salary, statutory entitlements and 12 months of healthcare where the benefit is offered. Departing employees keep their laptops, and a new Canva Collective Fund will offer grants of up to US$10,000 to those starting a business or a community project.
Canva did not name artificial intelligence in its announcement. It did point to "new technology" changing how people create and use products — the same pressure that has forced layoffs across design and software firms this year, as cheaper AI tools eat into the market for template-and-drag editing.
The company's valuation has been marked down by investors over the past year amid those concerns. What staff have been told is the shape of the company after January. What they have not been told is the headcount it plans to run with.