Another report says the manager won't be given money to spend in January.
Midfielder Cesc Fabregas says the club's players need to start justifying their wages.
The 2-1 defeat at Leicester on Monday was the side's 9th in 15 league games.
Fabregas says the champions know they need to improve.
Meanwhile Arsenal have reportedly opened-up talks with Mesut Ozil about a new contract.
The German international has been in out-standing form for the Gunners, which has prompted the club to table an extension to his existing deal, which ends in 2018.
According to the Sun newspaper, the 27-year-old, who has contributed 13 assists so-far this season, is seeking a €27,500 a week increase to around €220 thousand a week.
