By Sohaib Shams
Australian design platform Canva has announced a restructuring that will affect 22% of its workforce, with 1,271 employees either losing their jobs, being asked to relocate, or changing roles. Co-founder and CEO Melanie Perkins described the move as "without doubt the hardest moment in our thirteen-year history" and said the company had experienced its hardest year yet, with growth slowing for the first time in a decade.
Valuation drops amid AI costs
Investors Blackbird Ventures and Airtree reportedly downgraded Canva's valuation from A$60bn to about A$49bn earlier this year. The company also cut its own internal valuation as expenses surged from rolling out new artificial intelligence products. Perkins noted that new technology is transforming what people can create and what they expect from the products they use.
Strategic shifts and office changes
As part of the shake-up, Sydney will become the primary home for more of Canva's product teams. Starting next year, hybrid workers will be expected to spend two to three days per week in the office. The company employs staff across 37 countries.
Background on Canva
Perkins, who left university at 19 to start her first venture, launched Canva in 2013. The platform provides templates and tools that enable users without technical design skills to create professional graphics and presentations, ranging from wedding invitations to business pitch decks.
