Australian design software company Canva has announced a major workforce restructuring that will affect 1,271 employees, representing approximately 22 per cent of its workforce. The announcement was made by co-founder and Chief Executive Officer Melanie Perkins on 3 November 2026, as the company attempts to reorganise its operations following its first slowdown in growth in a decade.
In an official message to employees published on Canva’s newsroom website, Perkins described the decision as the “hardest moment in our thirteen-year history”. She said the restructuring would involve changes to team structures, working locations and the skills required for the company’s future.
The company clarified that the changes would not mean job losses for everyone affected. Some employees will be offered different roles or asked to relocate to centralised offices, while others will leave the organisation. Canva has not disclosed the exact number of employees who will lose their jobs.
Why is Canva restructuring?
The decision comes after Canva experienced slower growth for the first time in ten years. Perkins described the past year as the company’s most challenging period and said that minor organisational adjustments would not be sufficient to prepare the business for its next phase.
In her announcement, she stated:
“New technology is transforming what people can create, how they create it, and what they expect from the products they use.”
Canva plans to simplify its organisational structure by combining its Product, Growth and Platform teams into a single Product organisation. The move is intended to reduce internal coordination, improve decision-making and give employees greater responsibility.
Three major organisational changes
The restructuring will focus on three key areas:
- Team consolidation: Product, Growth and Platform departments will be brought together under one organisational structure.
- Fewer management layers: The company plans to reduce specialised roles, consolidate overlapping responsibilities and give employees broader ownership of projects.
- Relocation and office collaboration: Sydney will become the primary base for more product teams. From January 2027, most hybrid employees are expected to work from the office two to three days a week, depending on their location.
What support will affected employees receive?
Canva has announced financial and professional support for employees leaving the company. According to the CEO’s official announcement, departing employees will receive at least six months of salary, including statutory entitlements, regardless of their location.
The company has also outlined career-transition and wellbeing assistance. Additional provisions include healthcare support for eligible employees, interview preparation, career coaching and continued access to its employee assistance programme.
Canva has also announced a US$10,000 grant initiative for departing employees interested in starting their own businesses or community projects.
What does this mean for the technology industry?
Canva’s restructuring comes at a time when artificial intelligence is changing the software and digital design industries. AI-powered tools are making it easier for individuals and businesses to create graphics, presentations and marketing material without relying on traditional design software.
However, Canva has not explicitly identified artificial intelligence as the direct cause of the workforce restructuring. Its official explanation focuses on slower growth, organisational complexity and the need to prepare for future business demands.
The development highlights the growing pressure on technology companies to adapt their business models, improve efficiency and respond to changing customer expectations.
What’s next?
Canva has scheduled a company-wide meeting for 10 November 2026 to address employees’ questions and explain its future direction. Further organisational discussions are expected to begin from 11 November.
As the company enters its next phase, its challenge will be to balance operational efficiency with employee confidence and the innovation that helped establish its global reputation.
