Canva denies Leonardo AI job cuts, says no redundancies planned

Canva pushed back on reports that its Leonardo AI integration would trigger job losses. The company says it is not exploring redundancies as it folds the 150-person Sydney team into its AI roadmap. Worth noting: this comes as tech layoffs continue across ANZ, with AI integration often cited as the reason.

Canva denies Leonardo AI job cuts, says no redundancies planned

Canva says no one is losing their job as it integrates Leonardo AI, despite media reports suggesting otherwise.

The Australian reported that COO Cliff Obrecht told Leonardo's 150 North Sydney staff the business was being restructured. Some roles would map to existing AI work, others were told to look at different positions internally.

Canva shut that down. A spokesperson said the company is "not exploring any redundancies and no job losses were discussed." They added that The Australian did not verify the claims before publishing.

What This Means for Sales Teams

Canva acquired Leonardo AI in July 2024, price undisclosed. The integration is part of Canva's broader AI push, which included launching a Creative Operating System with 10 new AI features in October.

For sales professionals tracking tech layoffs in 2025, this is a data point worth watching. AI tool integrations have triggered job displacement across enterprise software companies this year. Canva is bucking that trend, at least publicly.

The company is not commenting on hiring plans or whether the Leonardo team will expand Canva's sales org. No word on whether this affects Canva's broader hiring posture in 2025.

The Broader Context

Tech layoffs continue across ANZ and globally. Companies are citing AI integration as a reason to reduce headcount, particularly in support and operations roles. Sales teams have seen less direct impact so far, but territory consolidation and quota increases are showing up as indirect effects.

PwC's 2025 Global AI Jobs Barometer shows AI adoption is reshaping workforce planning across enterprise software. Companies acquiring AI capabilities face a decision: integrate the team or integrate the tech. Canva says it is doing both.

For now, the 150 Leonardo staff in North Sydney are staying put. Whether that holds through the full integration remains to be seen.