Canva Restructures with Significant Layoffs and Shift to Centralized Work Hubs

Image: Canva is announcing changes and layoffs affecting 22 percent of its staff · Source

Canva announced workforce reductions affecting 22% of its employees alongside structural changes aimed at unifying product teams and increasing office collaboration.

Australian design platform Canva revealed major organizational changes impacting approximately 1,271 employees, constituting 22 percent of its workforce. CEO and co-founder Melanie Perkins shared that these changes include layoffs, role adjustments, and relocation requests to centralized hubs. The move aims to "refound Canva," returning to small, empowered teams with greater decision-making autonomy focused on community priorities.

The restructuring merges Canva's Product, Growth, and Platform teams into a single product organization to reduce overlapping roles and simplify management layers. Sydney will become the main base for more product teams and other specialties requiring close collaboration. Starting in January, Canva expects most hybrid employees to work from the office two to three days per week, contingent on local circumstances.

Employees affected by layoffs are offered at least six months' salary, a year of healthcare coverage, and career support services. Perkins emphasized the difficulty of the decision after considering alternatives but believes the changes are necessary for Canva's growth over the next decade.

These developments come soon after Squarespace announced layoffs of 19 percent of its staff, reflecting broader shifts in tech company workforce strategies. Canva's adjustments illustrate a trend toward consolidating teams and emphasizing in-person collaboration to drive innovation and agility in a competitive design software market.