Australian design platform Canva has announced a major workforce restructuring affecting 1,271 employees, representing approximately 22 per cent of its global workforce. The changes will involve job cuts, role changes and employee relocations as the company responds to slowing growth and rapid advances in artificial intelligence (AI).
The restructuring was announced by Canva co-founder and chief executive officer Melanie Perkins on 4 November 2026. Describing it as the most difficult decision in the company’s 13-year history, Perkins said Canva’s growth had slowed for the first time in a decade and that incremental changes would not be sufficient to prepare the business for its next phase.
The company has not disclosed how many of the 1,271 affected employees will lose their jobs outright. Some employees will be assigned different responsibilities, while others may be asked to relocate to centralised company hubs.
AI and Slowing Growth Drive Organisational Changes
The restructuring comes at a time when artificial intelligence is reshaping the software industry. AI-powered tools are making it easier for individuals and businesses to create designs, presentations and other digital content without relying entirely on specialised software.
At the same time, technology companies are increasingly adopting AI to improve productivity, streamline operations and reduce reliance on large, specialised teams.
Canva is also facing growing competition from AI-powered design tools and general-purpose platforms. Against this backdrop, the company believes it needs to rethink its organisational structure, product strategy and workforce capabilities.
Canva to Consolidate Teams and Simplify Management
As part of the restructuring, Canva will merge its Product, Growth and Platform teams into a single Product organisation. The move is intended to reduce operational handovers, improve accountability and give teams greater ownership of their work.
The company will also reduce management layers and consolidate overlapping responsibilities. It plans to move away from highly specialised roles towards smaller, more empowered teams with broader responsibilities.
These changes are intended to improve decision-making and help the company respond more quickly to customer requirements and technological developments.
Sydney to Become the Primary Hub for Product Teams
Workforce restructuring will also involve changes to employee locations and workplace arrangements. Sydney will become the primary base for a larger share of Canva’s product teams, with some employees expected to relocate to centralised hubs.
From January 2027, most employees working under hybrid arrangements will be expected to attend the office approximately two to three days a week, depending on their location and team requirements.
The move reflects Canva’s increased emphasis on in-person collaboration, particularly for teams involved in product development and innovation.
Employee Support and Separation Benefits
Canva has announced support measures for employees leaving the organisation. The reported package includes at least six months of salary, healthcare and wellbeing support, and career transition assistance.
The company will also remove the one-year equity vesting cliff for certain recently hired employees. In addition, departing employees interested in entrepreneurship or community initiatives can apply for grants of US$10,000 through the Canva Collective Fund.
AI Continues to Reshape Technology Workforces
Canva’s restructuring reflects a wider transformation taking place across the global technology industry. Companies are reviewing traditional workforce structures, reducing organisational layers and redirecting resources towards AI-related capabilities.
The development also highlights how AI adoption is influencing more than just job numbers. It is changing job responsibilities, skill requirements, team structures, workplace policies and the geographical distribution of employees.
As technology companies adapt to these changes, workforce planning and organisational redesign are becoming increasingly important to their long-term business strategies.
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