Staff at the theatre were informed by email that its financial position had not improved since Christmas, and management have “reluctantly but necessarily (been) forced to take further action.”
Three posts could go and those “at risk” were to be informed by letter within 24 hours.
The theatre, which celebrates its 40th anniversary next year, lost £100,000, a third of its annual subsidy, from Hull Council earlier this year.
In addition to the £100,000 cut, the theatre, which opened at its new home on Ferensway two years ago, has also lost £40,000 in Arts Council funding, leaving it with around £800,000 in public funding, which amounts to around 30 per cent of its turnover.
Yesterday there was nobody available at the theatre to say how the spring season ticket sales had gone.
In a statement chief executive Andrew Smaje said: “Considering making a small number of our staff redundant is not something we do lightly.
“However, we are faced with an extremely challenging financial climate, and sometimes these steps need to be taken, as businesses up and down the country are doing right now.
“Meanwhile, we will continue to create the excellent performances and life-changing community work which Hull Truck is renowned for.”