Very awkward and sounds like the stuff that happens after a few drinks have loosened the lips
It is a terribly inappropriate thing to say and I understand why the speaker would be offended and wanting follow up.
I am not in the business world but surely there would have to be some type of warning system before being sacked but if I was your DH I would go in with his tail between his legs and ask what he can do to make it better.
I have a good and sometimes slightly sick sense of humour but I think I'd be wanting a very public apology for this.
Hopefully all will be well.