Canva announces layoffs, job changes for about 22% of workforce
More people will work face-to-face, and most hybrid staff will spend two to three days in the office a week from January.
Canva, the Sydney-based design and publishing platform, announced layoffs and a major restructuring that will affect over one-fifth of its workforce, CEO Melanie Perkins revealed in a company-wide memo. Approximately 1,271 employees, comprising 22% of the staff, will either lose their jobs, switch roles, or relocate to central hubs.
The drastic measures come as Canva's growth rate has decelerated for the first time in a decade. Perkins attributes the changes to a broader industry upheaval, driven by advancements in artificial intelligence, which enables individuals to perform tasks independently without relying on specialized software. Companies are also leveraging AI to reduce their workforce.
Perkins, co-founder of Canva alongside Cliff Obrecht and Cameron Adams, emphasized the need to simplify the business and restore small, empowered teams. She stated that niche specializations will be reduced, reflecting the transformative impact of new technology on the creation process. Canva plans to establish Sydney as the primary hub for its product teams, with more personnel working in-person, dedicating two to three days per week to the office from January.
Perkins described the reorganization as the most challenging period in the company's 13-year history.
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