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Canva Is Cutting Employees After Its ‘Hardest Year Yet.’ Here’s What Their Unusually ‘Generous’ Severance Packages Include.

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Canva Is Cutting Employees After Its ‘Hardest Year Yet.’ Here’s What Their Unusually ‘Generous’ Severance Packages Include.

Forget benefits that help you stay. This package is designed to help you move on.

You have just lost your job. Can your employer help you find the next one?

That’s the question thousands of workers face at Canva, a graphic design platform launched in 2013. This week, Canva said that it is laying off, changing roles or relocating 1,271 employees, or about 22% of its workforce.

The move is a major restructuring that arrives in the wake of Canva’s “hardest year yet,” according to a memo sent to employees by co-founder and CEO Melanie Perkins. She mentioned that in the past year, the company’s growth slowed for the first time in 10 years.

“After exploring a wide range of alternatives, I’ve come to the difficult conclusion that small changes won’t be enough,” Perkins wrote. “To set ourselves up for the next decade, we need to re-found Canva, getting back to our roots of small, empowered teams.”

Perkins said that all affected employees will receive at least six months of pay regardless of where they live.

Typically, any equity Canva employees hold vests after a year with the company. However, laid-off workers will be eligible to keep their equity regardless of how long they’ve been with Canva.

Departing employees will also receive another 12 months of healthcare coverage in countries where Canva currently offers it, plus 12 months of access to its employee assistance program, Canva Care, for themselves and their families.

Canva’s approach reflects a broader shift toward more career support for departing employees , according to Greg Simpson, who leads the global career transition and mobility practice at talent advisory firm LHH.


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