Canva has announced a major restructuring that will affect 1,271 employees, or around 22 per cent of its workforce, as the design platform responds to slowing growth and prepares for its next phase. The company’s severance package has attracted attention for the financial, professional and personal support offered to departing employees. In a memo to staff, co-founder and CEO Melanie Perkins described the decision as one of the most difficult moments in Canva’s 13-year history. She said the company’s growth had slowed for the first time in a decade and that changes were needed to prepare for the future. The restructuring will not mean every affected employee loses their job. Canva said some workers will face role changes or relocation, while others will leave the company. The company has not disclosed how many of the 1,271 people will be laid off outright. For employees leaving Canva, the support package includes at least six months’ salary, inclusive of statutory entitlements, regardless of location. Departing staff can also keep their company-issued MacBooks. The company is offering a year of LinkedIn Premium, one-on-one career coaching, interview preparation and resume assistance. Employees may also join an opt-in alumni talent directory intended to connect them with potential employers, investors and industry contacts. Healthcare coverage will continue for up to 12 months in countries where Canva provides it. Employees and their families will also retain access to Canva Care, the company’s employee assistance programme, for a year. Canva has additionally introduced the Collective Fund, offering US$10,000 grants to departing employees who want to start businesses or community projects, without taking equity in those ventures. The package has prompted discussion about how employers can handle layoffs with greater consideration for workers, even when restructuring is necessary.

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