Mick McCarthy left Blackpool on Saturday after just 14 games in charge of the Championship strugglers.
McCarthy was hired in January until the end of the season as Blackpool looked to climb out of the relegation zone.
But the former Republic of Ireland boss left Bloomfield Road by mutual consent in the aftermath of Friday's 3-1 home defeat by Cardiff.
The Seasiders sit second bottom of the Championship, seven points adrift of safety with six games to play.
"Blackpool Football Club can confirm Mick McCarthy and Terry Connor have both left the club by mutual consent," a Blackpool statement said.
"With results on the pitch not improving in recent weeks, the decision has been agreed by both parties that a change is needed.
"The club would like to thank both Mick and Terry for their efforts and wish them well for the future."
McCarthy was appointed to replace Michael Appleton but managed just two victories in the league as Blackpool slumped closer to League One.
"After recent performances and results, I have thought long and hard and feel this is the best decision for everyone concerned with the football club," McCarthy said.
"I've loved my time here and thank everyone for their support. I wish everyone well going forward."
Blackpool's senior professional development coach Stephen Dobbie will take charge for the rest of this season.
