Canva restructure affects 1,271 roles, 22% of workforce

Canva said the changes include layoffs, role changes and requests to relocate to centralised hubs. The Australian design company has not disclosed how many of the 1,271 affected people will lose their jobs outright. Timing will vary across the 37 countries where Canva operates, TechJuice reported.

Product teams merge as growth slows

CEO Melanie Perkins told staff in an email on Wednesday that the restructure was "without doubt the hardest moment in our thirteen-year history". Product, Growth and Platform will become one product organisation, with fewer management layers and broader roles replacing some narrow specialties. Sydney will become the main base for more product teams.

"We want to get back to spending more time building, and less time navigating how work gets done," Perkins wrote. The memo described the change as "collapsing layers" and bringing "more teams together in person". From January 2027, most hybrid staff are expected to spend around two to three days a week in the office, depending on their area.

Severance and relocation terms

Departing staff will receive at least six months' salary including statutory entitlements, the company said. Healthcare coverage continues for 12 months in countries where workers receive that benefit, and leavers can keep their laptops. Canva also announced US$10,000 (A$14,000) grants for departing employees who want to start independent projects. Eligible workers have until 14 December to register interest, TechRepublic reported.

Perkins addressed the relocation requests. "We know relocating is a big decision for those being asked to consider it, and we're committed to making the process as smooth as possible with comprehensive support," she said.

Growth forecast cut

Perkins said growth had slowed for the first time in a decade. TechJuice reported that Canva cut its expected 2026 revenue growth to about 20% from 30%, after 38% growth in 2025, and that annualized revenue reached $3.69 billion against an internal target of $5.2 billion.

TechRepublic reported that AI is part of Canva's business pressures, but the company has not said AI is replacing departing employees. The same report said Atlassian tied its 1,600 job cuts to increased AI investment. The Guardian reported that Canva did not mention AI in its announcement. ABC News reported it understood Canva was restructuring to build AI-related products, not to replace departing staff with AI.

The Guardian reported that the changes mirror a trend across tech, where software companies are fighting cheaper AI-native rivals while embedding AI tools themselves, and that Canva is one of Australia's most successful startups, long touted as a candidate for a Nasdaq listing.

What happens next

Canva will hold a company-wide meeting on 10 November, TechRepublic reported. The memo does not announce changes to customer products, support or contracts.