Canva Receives Praise for Empathetic Layoff Support Package
The design platform offers six months of salary and startup grants to departing staff.
1Significant Workforce Restructuring
Australian design platform Canva announced a major organizational overhaul impacting 1,271 employees, which represents 22% of its total workforce. CEO Melanie Perkins communicated these significant changes on November 4, citing a need to adjust team locations, roles, and future skill requirements to better align with the company's long-term strategic objectives.
2Comprehensive Financial Assistance
Departing employees will receive at least six months of salary, inclusive of all statutory entitlements, regardless of their geographic location. Additionally, the company is removing the one-year vesting cliff for staff members who joined within the past year, ensuring that recent hires are not unfairly penalized during this transition period.
3Extended Healthcare and Benefits
Canva is providing 12 months of continued healthcare coverage in all countries where the company currently offers such benefits. Furthermore, the employee assistance program, known as Canva Care, will remain active for one year, with coverage extended to include family members to support them during this period of professional uncertainty.
4Practical Career Transition Support
The company is dedicating significant resources from its Talent Acquisition team to assist departing staff with resume reviews and interview preparation. Employees will also receive one-on-one coaching and a one-year subscription to LinkedIn Premium. An opt-in alumni talent directory will be shared with investors and partners to facilitate new job opportunities.
5Startup Grants and Assets
Through the Canva Collective Fund, affected employees can apply for US$10,000 grants to launch their own businesses or pursue community initiatives. The company explicitly stated it will not seek equity or ownership in these ventures. Additionally, departing staff are permitted to retain their company-issued MacBooks for their personal and professional use.
6Public Reception on LinkedIn
The announcement has triggered widespread positive discussion on LinkedIn, with many users describing the measures as a benchmark for corporate empathy. Observers highlighted the combination of financial security and career assistance as a humane approach to difficult restructuring, suggesting that other organizations should adopt similar standards during periods of workforce reduction.
7Leadership and Accountability Focus
LinkedIn users praised Canva for demonstrating transparency and accountability throughout the restructuring process. Comments emphasized that leadership is defined not just by making tough decisions, but by how effectively a company supports its people through them. This approach is being viewed as a model for maintaining dignity during corporate transitions.
8Setting New Industry Standards
By prioritizing human impact alongside organizational change, Canva has set a high bar for how tech companies handle layoffs. The integration of financial lifelines, startup funding, and career resources reflects a shift toward more compassionate management practices, potentially influencing how other businesses navigate rapid changes and future workforce adjustments globally.
Original article: mint - companies — Canva Receives Praise for Empathetic Layoff Support Package