Canva lays off 1,271 staff, offers six months' pay, MacBooks and healthcare

Canva CEO Melanie Perkins

Losing a job is probably one of the most haunting experiences in a person's professional life. Beyond the sudden loss of a regular income, it can bring myriad uncertainties about the future and finances.

Then there are family commitments as well. Also starting over is not an easy task. While news of big firms laying off employees has become regular, the way they treat employees during such transitions can make a significant difference.In a recent update, Australian design platform Canva took a major decision of laying-off its 1,271 employees. But the twist is humane. As part of a major organisational restructuring, the company has announced extensive support for those leaving the organisation.The compensation includes:

• A minimum of six months' salary
• 12 months of healthcare coverage
• Allowing employees to keep their company-issued MacBooks
• Offering a year of LinkedIn Premium subscription

At a time when stories of abrupt job cuts and uncertain employment are increasingly common in the technology industry, Canva chose a more humane, respectable and supportive way.CEO Melanie Perkins described it the most difficult decision

Employees in the office (Canva)

As per an official announcement published on Canva's newsroom on November 4, 2026, the restructuring will affect approximately 22 per cent of its workforce. But the firm clarified that not everyone affected will necessarily lose their jobs.

Some employees will face changes to their roles, while others may be asked to relocate to centralised hubs.Canva co-founder and CEO Melanie Perkins described the decision as the most difficult moment in the company's 13-year history. Acknowledging the contribution of employees who helped build the platform, she said that the company's success would not have been possible without their talent, imagination and dedication.She also acknowledged that the decision would affect not just the employees concerned but their families, friends and colleagues.Six months' salary and a laptop to begin again

Employees leaving (Canva)

According to the company's official statement, every departing employee will receive at least six months of salary, inclusive of statutory entitlements, irrespective of their location. The company has also decided to let departing employees retain their company-issued MacBooks.While this might appear to be a small gesture compared with the financial compensation, it addresses a practical problem that people often encounter after losing their jobs because not everyone has a personal laptop at home. This decision will help people a lot.The company has also made changes to its employee stock arrangements. Those who joined within the past year will not be subject to the usual one-year vesting cliff, allowing them to retain equity that would otherwise have remained unvested.Support that goes beyond financial compensationNot only this, the company is offering employees a one-year LinkedIn Premium subscription, along with dedicated career assistance. This includes one-on-one coaching, interview preparation and help with reviewing resumes. Canva has also committed a significant portion of its Talent Acquisition team to helping affected employees prepare for interviews and connect with potential opportunities.12 months of continued healthcare coverage

Canva's official note

Along with other things, the departing employees will also receive 12 months of continued healthcare coverage in countries where Canva currently provides this benefit. They and their family members will also retain access to Canva Care.A $10,000 opportunity for starting their own businessThrough its newly introduced Canva Collective Fund, the company will also offer US$10,000 grants to departing employees who want to start their own businesses or undertake meaningful projects for their communities.Importantly, Canva has also clarified that it will not seek any ownership or equity in the ventures created through these grants.Canva's decision has started a bigger conversationIn the official note shared on Canva's offical website, it reads:"This is without doubt the hardest moment in our thirteen-year history. 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."Canva's restructuring comes amid slowing growth and rapid changes in the technology industry, particularly with artificial intelligence reshaping the creative software market. CEO Melanie Perkins said the company needed to simplify its organisational structure, bring teams closer together and return to smaller, more empowered working groups.The business decision has not been without consequences. For 1,271 people, the announcement represents uncertainty and, for those leaving, the end of an important professional chapter.However, it’s a major support measure which has drawn attention to an aspect of corporate restructuring that often receives less consideration. The humanity and responsibility of being an employer.