Canva Restructure: 1,271 Jobs Cut or Moved in 22% Workforce Reduction

Canva is reducing its global workforce by 22%, affecting 1,271 employees, as it consolidates operations into centralized hubs. The move represents the most significant structural change in the company's thirteen-year history, according to chief executive Melanie Perkins.

Perkins informed staff via email on Wednesday that the restructure aims to collapse management layers and bring more teams together in person. She described the moment as the hardest in the company's existence, noting that some employees would face role changes or relocation requests while others would leave the company.

Those exiting Canva will receive at least six months of salary and retain healthcare coverage for an additional 12 months in countries where that benefit applies. Departing employees are also permitted to keep their company-issued laptops. The company offers a US$10,000 grant, equivalent to A$14,000, for employees who use the funds to launch their own ventures.

The restructuring mirrors a wider trend in the technology sector, where software firms are adjusting to competition from lower-cost artificial intelligence tools. Recent workforce reductions have also occurred at Atlassian, which cut 1,600 roles, as well as at Block and WiseTech Global. Canva, however, did not explicitly cite AI as a driver for its own changes in the announcement.

Founded in Australia, Canva has long been viewed as a potential candidate for a major listing on the Nasdaq exchange. The current consolidation effort places the design platform among a series of Australian and global software companies reorganizing their operations to remain competitive in a shifting market environment.