Losing a job can be a difficult experience, particularly when employees suddenly have to deal with financial uncertainty and the pressure of finding new employment. However, Australian design platform Canva has introduced an extensive support package for employees affected by its latest workforce reduction.

The company has decided to lay off 1,271 employees, representing approximately 22% of its total workforce. Despite the difficult decision, Canva has announced several benefits for departing employees, including at least six months of salary, permission to keep their company-issued MacBooks and a one-year LinkedIn Premium subscription.

Canva CEO Melanie Perkins described the decision as extremely difficult and apologised to the affected employees.

1,271 Employees Affected Across 37 Countries

Canva employs more than 5,700 people across 37 countries, including India. The latest workforce reduction is expected to affect employees across its global operations.

However, the company has not yet disclosed a complete breakdown of the countries, departments or teams most affected by the decision.

In her communication to employees, Melanie Perkins expressed regret over the impact of the layoffs. She also clarified that the decision should not be considered a reflection of the employees' abilities, contributions or professional value.

Employees Can Keep Their MacBooks and Get LinkedIn Premium

One of the most talked-about aspects of Canva's severance package is the additional support being offered beyond financial compensation.

Employees affected by the layoffs will be allowed to retain their company-issued MacBooks. They will also receive a one-year LinkedIn Premium subscription to help them explore new career opportunities.

Canva is also providing career-related assistance, including:

• Career coaching and professional guidance.

• Interview preparation support.

• Resume improvement assistance.

• Help from the company's talent acquisition team.

• Access to an alumni talent network.

These initiatives are intended to make the transition to new employment easier for departing employees.

Minimum Six Months' Salary and Healthcare Benefits

Canva has announced a minimum severance payment equivalent to six months of salary for affected employees, along with applicable legal entitlements.

The company has also introduced additional provisions for employees who joined within the previous year. Certain one-year vesting requirements will be waived, allowing eligible employees to access their equity benefits without waiting for the usual vesting period.

Healthcare support is another important part of the package. In countries where Canva provides healthcare benefits, affected employees will receive coverage for up to 12 months.

Additionally, employees and their families will have access to the Canva Care programme for one year.

Canva Offering Grants of Up to ₹8.9 Lakh to Start Businesses

Another interesting initiative is the Canva Collective Fund, which aims to support employees interested in starting their own businesses or developing local projects.

Under this programme, eligible employees can apply for grants of up to $10,000, approximately ₹8.9 lakh.

An important feature of this initiative is that Canva will not demand an ownership stake in the business in exchange for the grant.

Interested employees have been asked to submit their applications by December 14.

This initiative could provide financial assistance to individuals who want to explore entrepreneurship instead of immediately looking for another salaried position.

Canva Will Create an Alumni Talent Directory

The company is also planning to establish an Alumni Talent Directory featuring employees affected by the layoffs.

This directory will be shared with investors and industry professionals to help former employees connect with potential employers and explore new opportunities.

Additionally, departing employees will retain access to Slack and Gmail until the end of the week, according to the announced arrangements.

A Different Approach to Employee Layoffs

Canva's decision to reduce its workforce has undoubtedly created uncertainty for 1,271 employees. However, the support package demonstrates an effort to provide financial assistance, healthcare continuity and career guidance during the transition.

From six months of salary and free MacBooks to business grants and professional networking opportunities, the company has introduced several measures to support departing employees.

Although these benefits cannot completely remove the difficulties associated with losing a job, they may give affected employees additional time and resources to plan their next professional move.