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Home » Business » Tech Layoffs Continue as SUSE, Canva and Squarespace Restructure

Tech Layoffs Continue as SUSE, Canva and Squarespace Restructure

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By Digital News Editorial Team on November 3, 2026

SUSE plans to cut approximately 10% of its workforce while Canva and Squarespace announce major organizational changes, raising new questions about automation, artificial intelligence and the future of technology jobs.

Technology companies are announcing another round of layoffs as they rethink staffing, management structures and the growing role of artificial intelligence. German software company SUSE plans to eliminate approximately 10% of its workforce, while Australian design platform Canva is restructuring roles affecting 1,271 employees. Website-building company Squarespace has also announced plans to cut about 300 positions.

The announcements came during the first week of November 2026 and reflect different challenges across the technology industry. Some companies are reducing costs and simplifying operations, while others are changing how their employees work as automation takes over more routine tasks.

SUSE Plans to Cut Approximately 190 Jobs

SUSE, a German software company known for its Linux operating systems and enterprise technology products, is preparing to reduce its global workforce by approximately 10%. Based on a workforce of more than 1,900 employees, the cuts could affect around 190 people.

Chief Executive Officer Dirk-Peter van Leeuwen informed employees of the decision in an internal message on November 2. The Register, which obtained the communication, reported that the company is responding to changing business requirements and the growing capabilities of artificial intelligence.

Van Leeuwen explained that automation and AI are transforming how software companies operate. Modern development tools allow teams to complete certain tasks more efficiently, reducing the need for some positions while creating demand for different skills.

The company has reviewed its long-term strategy, organizational structure and staffing requirements. According to the internal message, some existing roles are becoming less necessary as SUSE shifts resources toward areas it considers more important for future growth.

Employees affected by the restructuring are expected to be notified by November 4. Individual meetings are scheduled to begin the following week, while the company plans to share more information about its fiscal 2027 strategy on November 16.

SUSE is owned by Swedish private equity firm EQT and provides software used by businesses to manage servers, applications and cloud infrastructure. Its restructuring reflects growing pressure on established software providers to adapt their operations as AI becomes more widely available.

Canva Announces Major Workforce Changes

Australian design software company Canva announced a separate restructuring on November 3 that will affect 1,271 workers, representing approximately 22% of its global workforce. However, the company has not said that all those employees will lose their jobs.

Some affected workers will receive different responsibilities, while others may be asked to relocate to centralized offices. Canva has confirmed that layoffs are part of the restructuring but has not provided an exact number of positions being eliminated.

Co-founder and CEO Melanie Perkins described the announcement as an exceptionally difficult moment in Canva’s 13-year history. She explained that the company’s growth had slowed for the first time in a decade, making broader organizational changes necessary.

Canva plans to combine its Product, Growth and Platform divisions into a single Product Organization. The company also intends to reduce management layers, consolidate overlapping responsibilities and give smaller teams greater control over their work.

Sydney will become the primary location for more product-related positions. Beginning in January 2027, most employees working under hybrid arrangements will also be expected to spend approximately two or three days each week in an office.

The changes follow a reduction in Canva’s revenue growth expectations for 2026. According to Business Insider, the company lowered its forecast from 30% growth to 20% in August as competition intensified and its business entered a more challenging period.

Employees leaving Canva will receive at least six months of salary, including applicable statutory entitlements. Eligible departing workers will also receive continued healthcare coverage, career assistance and other support services intended to help them find new opportunities.

Canva has also established a fund offering US$10,000 grants to qualifying departing employees who want to launch businesses or pursue independent projects. The company has scheduled an employee meeting for November 10 to address questions about the changes.

Squarespace Cuts Approximately 19% of Staff

Website-building company Squarespace announced its own workforce reduction on November 2, adding another major name to the latest round of technology layoffs. The company plans to eliminate approximately 300 jobs, representing about 19% of its employees.

Squarespace said the restructuring is designed to simplify operations, improve decision-making and help the company respond more quickly to changing market conditions. The cuts primarily affect product and engineering teams, according to reporting from Investing.com.

The company has been expanding its artificial intelligence capabilities, including tools that help customers build websites and generate written content. However, Squarespace specifically rejected suggestions that its restructuring was connected to plans to increase investment in AI infrastructure.

Departing employees will receive at least 16 weeks of base pay, with additional support depending on their circumstances. The company also plans to continue healthcare benefits through May 2027.

Squarespace was taken private in 2024 through an acquisition by private equity firm Permira. Its latest workforce reductions come as website-building businesses face growing competition from software that can create functional designs using written instructions.

Artificial Intelligence Changes Workforce Requirements

The announcements from SUSE, Canva and Squarespace demonstrate how technology companies are reconsidering the size and structure of their workforces. However, the three companies have not offered identical explanations for their decisions.

SUSE has directly connected its job reductions to automation and changing skill requirements. Canva has emphasized slower growth, organizational complexity and changing technology, while Squarespace has focused on simplifying its operations.

Artificial intelligence can help software developers write code, test applications, generate designs and automate administrative processes. These capabilities can reduce the time required for certain tasks, although their impact varies considerably between companies and occupations.

The changes do not necessarily mean that every eliminated position has been replaced by artificial intelligence. Business priorities, financial expectations, management decisions and competition can also influence staffing levels.

For technology workers, the restructuring announcements create uncertainty about which skills employers will value in the coming years. Employees whose positions involve routine processes may face increasing pressure to learn new tools or move into broader responsibilities.

Technology Stocks Show Mixed Performance

The workforce reductions are taking place against a complicated backdrop for technology investors. Some companies continue reporting strong financial results even as others face pressure to control spending or reconsider expansion plans.

CNBC commentator Jim Cramer has pointed to Advanced Micro Devices and Arista Networks as examples of technology companies showing strength outside the largest group of market leaders. His comments reflect the uneven performance of technology stocks rather than a uniform downturn across the sector.

Investors are also watching resistance to new data center developments, particularly in communities concerned about electricity prices and water consumption. Delays or canceled projects could create financial challenges for developers such as Iren, Nebius and CoreWeave.

Larger technology companies may have greater resources to relocate projects or secure alternative infrastructure. These differences can influence investment decisions, but they do not establish a direct connection between data center development and the latest software industry layoffs.

Geopolitical uncertainty, including the conflict involving Iran, has also complicated the market outlook. Cramer has cautioned against assuming that technology stocks have reached a lasting low point while those risks remain unresolved.

For employees at SUSE, Canva and Squarespace, the immediate concern is more personal than financial market performance. SUSE is preparing to notify affected workers, Canva is beginning individual discussions about its restructuring, and Squarespace is moving forward with its announced job reductions.

IMAGE:  Elf-Moondance Pixabay

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