Liverpool are parting ways with head coach Arne Slot with immediate effect, the club announced Saturday.
The process is "underway" to appoint a successor, the Reds added.
Andoni Iraola, fresh off leaving Bournemouth, is the clear favorite to replace the Dutch tactician at Anfield, according to soccer insider Fabrizio Romano.
Slot led Liverpool to the Premier League title in his first campaign at the helm in 2024-25, but the Reds struggled through a disastrous title defense this past season, finishing fifth in the Premier League with just 60 points.
"That this was a difficult decision for us to make as a club goes without saying. The contribution Arne has made to Liverpool FC in the time that he has been with us has been significant, meaningful and - most importantly of all to supporters and ourselves - successful," Liverpool's ownership group said in a statement.
"As such, our appreciation for everything he has achieved could not be greater, particularly as it was underpinned by a work ethic, a diligence and a level of expertise which further underlined our view that he is a leader in his field."
Slot arrived at Anfield in the summer of 2024, replacing beloved former bench boss Jurgen Klopp.
The transition, at first, was seamless, as Slot exceeded all expectations and guided the Reds to their record-tying 20th Premier League title in his first season.
But after a summer of extraordinary squad investment - Liverpool spent over £400 million on new signings to bolster the title-winning team - Slot struggled to integrate his new players and get the best out of his returning stars.
The Reds lost 19 matches in all competitions this past year, and just barely qualified for the Champions League on the final day of the league season.
There also appeared to be disharmony in the dressing room.
Mohamed Salah publicly questioned the manager on multiple occasions amid struggles for both the Egyptian forward and the club at large, and that sentiment seemed to extend to fans as the team's miserable season wore on.
Liverpool did make a point in their statement to acknowledge the "compassion and humanity" Slot showed in guiding the club through one of its most challenging spells following the tragic loss of Diogo Jota, who was killed in a car accident last July.
"Nevertheless, the conclusion we have come to is built on a belief that the team's trajectory is best addressed through a change of direction," the club said. "That does not diminish the work Arne has done here, or the respect we have for him. Nor is it a reflection of his talents. Rather, it is indicative of the need for a different approach.
"Arne leaves with our gratitude, with a Premier League title to his name, and with the knowledge that he and his family will always be welcomed back at Anfield."
