On Thursday, Elon Musk told Twitter employees that the company needed to be financially healthy and cut costs.

This suggests that job cuts could occur if Musk's deal to buy the social network service.

According to employees who could hear the comments, Musk stated that "right now costs exceed revenue" when he was asked about layoffs. "That's not an ideal situation."

Since Musk's initial announcement that he wanted to purchase Twitter, the question of layoffs has been a top concern for its more than 7,000 employees.

Although Musk didn't specifically say whether there would be job reductions on Thursday, his comments suggest they are likely to happen.

Parag Agrawal, the current CEO, told staffers at an earlier meeting that no releases were being planned.

According to The New York Times, Musk had previously stated that Twitter would reduce roles in a pitch deck for potential investors.

According to The New York Times, the deck showed that Musk was looking to increase Twitter's headcount quickly and reduce around 900 jobs before resuming its growth.