Canva Cuts 22% of Workforce
The Australian graphic design platform is slashing 1,271 jobs as growth slows for the first time in a decade, and will provide $10,000 grants to departing employees
Canva, the Australian graphic design platform, is cutting 22% of its workforce, approximately 1,271 jobs, due to slowed growth for the first time in a decade. The company is restructuring its organization to improve efficiency and adapt to changing business needs.
The restructuring involves combining Canva's product, growth, and platform teams into a single product organization, aimed at reducing handovers and giving teams greater ownership. Additionally, the company will simplify management layers and consolidate roles to improve accountability and decision-making.
As part of the restructuring, Canva plans to make Sydney the main base for more of its product teams and will ask some employees to relocate. From January, most hybrid workers will be expected to attend the office two to three days a week.
The company will provide $10,000 grants to departing employees for future endeavors. Co-founder and CEO Melanie Perkins said the changes would reshape Canva's organizational structure, team locations, and staffing requirements.
## Why it matters The move is part of a larger trend in the technology sector, as companies adapt to rapid advances in AI and changing business needs. Other companies, such as Atlassian and WiseTech Global, have also cut jobs in recent months. Canva's decision to cut its workforce highlights the challenges faced by tech companies in navigating a rapidly changing landscape.
The restructuring is likely to have a significant impact on Canva's operations and employees. The company's decision to provide $10,000 grants to departing employees is a positive step, but the job cuts will still have a significant impact on those affected. As the technology sector continues to evolve, it is likely that other companies will follow suit and restructure their operations to remain competitive.
## What happens next The restructuring is expected to be completed in the coming months, with the company focusing on improving efficiency and adapting to changing business needs. Canva's decision to make Sydney the main base for more of its product teams is likely to have a positive impact on the local economy, but the job cuts will still have a significant impact on those affected. As the company moves forward, it will be important to monitor its progress and see how the restructuring affects its operations and employees.
