Canva Announces Restructuring: Changes Will Affect 1,271 Employees

On November 4, 2026, the design platform Canva announced changes affecting 1,271 employees, or 22% of its workforce. Some employees will be laid off, others will have their roles changed, or be offered relocation to major offices. The company did not disclose the exact number of layoffs.

Why Canva is restructuring

Canva co-founder and CEO Melanie Perkins acknowledged that in 2026, the company's growth slowed for the first time in ten years. According to her, the previous structure hindered quick decision-making.

“This is without doubt the hardest moment in our thirteen-year history,” wrote Perkins to employees.

Canva will merge product development, business growth, and platform infrastructure teams into a single product division. The company also intends to reduce management layers and consolidate overlapping functions to enable teams to make decisions more quickly.

What will change for employees

Sydney will become the main hub for a larger number of product teams. Some employees will be offered relocation to centralized offices. Starting January 2027, most employees with hybrid schedules will be required to spend about two to three days a week in the office. Specific conditions depend on the division.

For those leaving Canva, the company promises to pay at least six months' salary, including mandatory compensations. In countries where corporate health insurance is available, it will be maintained for another 12 months. Departing employees will also be offered career counseling and allowed to keep their work laptops.

Additionally, Canva will create a grant fund of $10,000 for former employees wishing to start a business or implement a community project. Applications can be submitted until December 14, and Canva will not take a stake in the projects.

The role of artificial intelligence

The restructuring takes place amid increasing competition in the software sector and the spread of generative AI tools. However, in the official letter, Canva did not cite AI as the reason for the layoffs.

The main stated goals of the changes are to simplify management, accelerate development, and ensure collaborative work among teams. The results of the changes are not yet known. Meanwhile, the staff reduction is only part of the announced program.