Canva plans to restructure its workforce, affecting 22% of employees, or 1,271 people, through layoffs, relocations or changes to their roles. CEO and co-founder Mel Perkins described the changes in a company-wide message as the most difficult moment in the company’s 13-year history.
Perkins said Canva’s rapid growth had led to a more complicated organization, with teams divided into narrow areas of responsibility and more management and coordination than the company needs. Canva says the restructuring is intended to simplify its structure, rather than being solely a cost-cutting measure.
As part of the changes, the Product, Growth and Platform teams will be combined into one Product organization. Canva also plans to reduce specialist and management roles by bringing some of their responsibilities into broader positions. More product development teams are expected to be based in Sydney, and some employees will be asked to relocate. Perkins said the company would provide support to those considering a move.
Canva will also change its hybrid work policy from January 2027. Employees working in a hybrid arrangement will be expected to come to the office two or three days a week, depending on their roles and locations.
Employees leaving as a result of the restructuring will receive at least six months’ salary and 12 months of healthcare coverage, among other benefits. They will also be able to apply for grants of $10,000 through the Canva Collective Fund to start a business or community project. Perkins said Canva would not take ownership or equity in projects funded through the program.
The company says it has 250 million monthly users and is continuing to develop its AI models. Canva reported that, as of September, 120 AI researchers were working on in-house models, and said it was on track to grow revenue year over year this year.
Sources: TechRadar.