Daijiworld Media Network – Mumbai
Mumbai, Nov 4: Australian design platform Canva has announced a major organisational restructuring, with 1,271 employees, accounting for 22 per cent of its workforce, set to be affected through layoffs, role changes or relocation.
Co-founder and CEO Melanie Perkins informed employees about the decision in an email on November 4, describing it as the most difficult moment in the company's 13-year history.
Perkins said the company needed to make significant changes to its organisational structure, geographical presence and the roles and skills required to achieve its future business goals.
Of the 1,271 employees affected, some will lose their jobs, while others will face changes to their existing roles or be asked to relocate to the company's centralised hubs.
Explaining the reason behind the restructuring, Perkins acknowledged that Canva had experienced a challenging period, with its growth slowing for the first time in a decade.
"This has been our hardest year yet, and as we shared earlier this year, our growth has slowed for the first time in a decade," she wrote.
The company had reportedly reduced its revenue growth forecast from 30 per cent to 20 per cent in August. The slowdown comes amid increasing competition in the technology sector and rapid developments in artificial intelligence, which are reshaping the design industry.
Calling the restructuring the "hardest moment in our thirteen-year history", Perkins said Canva needed to return to the principles that supported its early growth by building smaller, empowered teams with greater independence and responsibility.
As part of the restructuring, Canva plans to merge its Product, Growth and Platform teams into a single Product organisation. The move is aimed at simplifying internal processes, reducing unnecessary handovers and improving coordination between departments.
The company also plans to consolidate overlapping responsibilities, combine specialised roles into broader positions and reduce management layers. The changes are intended to give employees greater ownership of projects and reduce fragmentation across teams.
Another major change involves employee relocation and office attendance. Sydney will become the primary base for a larger number of product teams and certain other roles.
Most employees currently following hybrid work arrangements will be expected to attend the office two to three days a week from January, depending on their location and role. Employees required to relocate will receive support from the company.
Perkins said that although having teams spread across different countries had helped Canva attract global talent, it had also made collaboration on complex projects more difficult. The company will continue investing in its global workforce, particularly in locations close to its customers and markets.
The CEO's email to employees was subsequently published on Canva's official website. The company does not have an office in India.
The restructuring has also triggered discussions on Reddit, particularly on the r/Layoffs subreddit, where users expressed concern over the number of employees affected and the wider uncertainty in the job market.
Some users questioned the size of Canva's workforce, while others expressed sympathy for those losing their jobs and discussed the reported severance packages.