Canva plans to cut or relocate 1,271 jobs, equivalent to 22% of its global workforce, as part of a major restructure at the Australian-founded design company. The changes include layoffs as well as role changes and requests for some employees to move to centralised hubs, according to chief executive Melanie Perkins’ email to staff on Wednesday.
Perkins described the restructure as “without doubt the hardest moment in our thirteen-year history”. She said the company would have to part ways with some employees who had helped build Canva, but did not state how many jobs would be eliminated.
Canva said it aims to “collapse layers” and bring more teams together in person. Employees asked to relocate will receive support through the process, Perkins said.
Those who leave will receive at least six months’ salary and, in countries where the benefit is available, retain healthcare coverage for another 12 months. They can also keep their laptops and apply for grants of US$10,000 to start their own ventures.
The restructuring comes amid wider changes across the technology sector, where software companies are adapting to competition from lower-cost AI tools while also incorporating AI into their products. Canva did not mention AI in its announcement.
Sources: The Guardian Technology.