Nearly 1,300 jobs to be impacted by Canva restructure
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“The hardest moment in our history”: More than one in five per cent of Canva’s workforce is set to be impacted by “significant changes” to how the Australian tech juggernaut operates.
In a message to Canva staff earlier this morning (Wednesday 4 November), co-founder and chief executive Melanie Perkins said that the business has made the “incredibly hard decision” to reorganise where some teams are based, and the roles and skills it needs moving forward.
This means, she wrote, that 1,271 people, or 22 per cent of Canva, will be impacted, with some to lose their jobs, and others being asked to relocate to centralised hubs.
“This is without doubt the hardest moment in our thirteen-year history,” Perkins wrote.
“Behind every decision is someone we care deeply about, and I know the consequences will be very real for those directly affected, their families, friends and teammates. I’m deeply sorry for the pain and disruption this will cause for everyone affected.”
“To set ourselves up for the next decade, we need to refound Canva, getting back to our roots of small, empowered teams with the freedom to make decisions, take ownership and focus on what matters most for our community,” she said.
In explaining the decision, Perkins wrote that “small changes won’t be enough” to navigate the breadth of technological and broader change, and that it had been "our hardest year yet", with growth having slowed for the first time in a decade.
Among the changes being made, Canva will amalgamate its product, growth, and platform teams into one product organisation, reduce “fragmentation” by way of cutting management layers, and make Sydney the “primary home” for more product teams and other specialities.
From January, she said, the expectation is that “most hybrid Canvanauts” will spend 2-3 days in the office each week, as the business moves to strengthen connections for teams.
Perkins advised that those leaving Canva will receive “at least six months of salary”, 12 months of continued healthcare coverage in applicable jurisdictions, 12 months of access to the business’ EAP, dedicated career support including one-on-one coaching, interview preparation, and one year of LinkedIn Premium, and the opportunity to keep their Canva MacBook, “as we know not everyone has a personal laptop”.
Moreover, she continued, a Canva Collective Fund is being established, providing US$10,000 grants “to departing Canvanauts who want to start something of their own”.
“Everyone leaving as part of these changes will have until the 14 of December to register their interest, and we won’t take any ownership or equity in what they create,” Perkins noted.
To those who will remain at Canva, she acknowledged “this news will be incredibly difficult”, saying non-critical meetings will be cancelled for the rest of the week, and allowing staff to take the day off to process the news. “There’s no need to log this as leave,” she said.
To those who will leave the business, Perkins wrote: “I wish I could adequately express how grateful I am for everything you've contributed. I am deeply sorry this is how your chapter at Canva is ending.” “Please know these decisions do not diminish your talent, the value of your contributions, or the difference you've made here. We will do everything we can to support you in what comes next, and I hope the work we do from here will be worthy of what you've helped build,” she concluded.
According to VC Market Cap, Canva’s valuation currently sits at US$37.7 billion.
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