Canva Cuts or Moves 22% of Staff in First Company-Wide Layoff

Canva's chief executive, Melanie Perkins, told staff on Wednesday 4 November 2026 that 1,271 roles, about 22% of the workforce, will be affected. Some people will lose their jobs. Others will change roles or move to central hubs. The company is merging its product, growth and platform teams into one product organisation and removing management layers, after growth slowed for the first time in a decade. Departing staff receive at least six months' salary and can apply for US$10,000 grants. Canva did not name AI as a cause in its note, but coverage links the restructuring to the cost of running AI features. For businesses that automate routine work, the lesson is to track the cost of each AI task and to document who approves what before any structural change.
In short
- Canva is affecting 1,271 roles, about 22% of its workforce, through cuts, role changes and relocations.
- The company is merging product, growth and platform teams and removing management layers.
- Canva's note did not name AI as a cause, but its earlier statements tie AI running costs to product decisions.
- Businesses that automate work should track the cost of each AI task and document who approves what.
- Local notice and consultation rules apply in each country where affected staff work.
What happened
According to Investing.com, Canva told employees in a note posted on its website that 1,271 people, or 22% of its workforce, will be affected. Some will lose their jobs. Others will change roles or relocate to central hubs. The announcement came from the Sydney-based design platform on 4 November 2026, and it is the first company-wide round of layoffs in the company's 13-year history, according to Trending Topics.
Canva is merging its product, growth and platform teams into a single product organisation and removing layers of management. Perkins framed the move as a return to small, empowered teams. According to Business Insider, as cited by Dealroom, Canva cut its 2026 revenue growth forecast from 30% to 20% in August. Growth had slowed for the first time in a decade.
Departing staff will receive at least six months of salary, and the company will provide 12 months of healthcare where it offers it. Leavers can keep their company laptops and apply for US$10,000 grants through the Canva Collective Fund, according to Investing.com. Staff will hold a company-wide meeting on 10 November, Investing.com reports.
Why it matters for businesses that automate work
The note does not use the words AI or cost, and it does not tie the 1,271 roles to automation, according to the reporting by The Statesman. ABC News also reports that the company did not explicitly mention AI in the announcement. Investing.com, however, quotes Perkins saying the restructuring reflects broader shifts in how AI changes content creation and how companies operate. The two reports differ on this point, so readers should treat the AI link as a matter of interpretation.
The cost question is more concrete. Trending Topics reports that Canva's co-founder Cliff Obrecht said in August that the cost of serving each user had moved from cents per month to many more cents, and that the company slowed the rollout of its Canva AI 2.0 update as a result. The company also said that its newer design agent costs 46% less per task than the previous one, according to the company's own figures as reported by Trending Topics.
There is also an earlier pattern. The Statesman reports that in 2025 Canva laid off 10 to 12 technical writers, and that reports linked the move to a push for staff to use generative AI tools. Canva said at the time that it was changing how it approached technical content writing.
What changes in practice for a business that automates work
Canva's case is a large company's decision about its own product and structure. It does not show that automation saves money for a business of any size. The practical lessons are narrower.
- Track the cost of each AI task you run, not only the monthly subscription. Canva's own account shows that per-task cost can drive product decisions.
- Check how each AI or software vendor you depend on could change its pricing, features or support. A restructuring at a supplier can alter the service you rely on.
- Write down the steps, approvals and owners behind routine work such as invoices, follow-ups and reports. When a person leaves, that record is what keeps the work running.
- Expect the same management question in any reorganisation. Who approves what, and how many handovers does a task need?
If your business has staff in several countries, the timing of any change will depend on local rules. Trending Topics reports that Canva has staff in 37 countries and that the timing of conversations will vary with local rules. Notice, consultation and severance rules apply in each country, so any change to roles should be agreed with the employee or checked with a lawyer in that country.
What to watch next
Several points will show whether the restructuring holds. The 10 November company-wide meeting may bring more detail on how the 1,271 roles split between departures and role changes. The official note does not say how many people will leave, which countries or teams lose the most roles, or what the support package costs, according to The Statesman.
Canva has also said most hybrid staff will be expected in the office two to three days a week from January, and that Sydney will become the primary hub for more product teams, according to Trending Topics and Investing.com. Trending Topics notes that this could complicate recruiting in overseas markets. The grant window reportedly runs until 14 December, according to The Statesman.
Finally, watch whether Canva's AI costs fall as planned. Its own figures on per-task costs will be the clearest test, and the company has not yet published results from the new structure.
How AiStaffo would automate this
For a business facing a similar reorganisation, AiStaffo would first connect the systems that hold routine work, such as the shared inbox, accounting software and the customer record, so that tasks no longer depend on one person's memory. Routine steps like invoice follow-ups, approval routing and handover notes would run automatically, and each step would be logged with an owner. A person would still decide which roles change, approve exceptions and review the monthly cost of each AI tool in use. Results depend on the reader's own figures, which the free audit measures. Book a free automation audit.
Questions people ask
How many jobs is Canva cutting?
Did Canva say AI caused the layoffs?
Is this Canva's first layoff?
What do departing Canva employees receive?
What should a business learn from Canva's restructuring?
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