Canva cuts 22% of workforce as growth slows for first time

Canva Inc. announced Tuesday it will cut jobs and restructure operations in a move affecting 1,271 employees, or 22% of its workforce, as the Sydney-based design platform faces its first growth slowdown in a decade.

Chief Executive Officer Melanie Perkins said in a note posted on the company’s website that some employees will lose their jobs, while others will change roles or relocate to central hubs. The restructuring aims to simplify the organization by consolidating product teams and reducing subspecialization, Perkins said.

The company will merge its Product, Growth and Platform divisions into one Product Org and reduce fragmentation across teams. Sydney will become the primary location for product teams, requiring some employees to relocate. Starting in January, most hybrid employees will spend two to three days per week in the office.

Canva will provide affected employees at least six months of salary, remove the one-year vesting cliff for recent hires, and offer 12 months of healthcare coverage and career support services. Departing employees can keep their company laptops and apply for $10,000 grants through the Canva Collective Fund to start new ventures.

The company will hold a company-wide meeting on November 10 to discuss the changes. Perkins said the restructuring reflects broader shifts in the software industry as artificial intelligence transforms how people create content and how companies operate.