Rhyce Shaw has departed North Melbourne, effective immediately.
The coach was granted a leave of absence from the club earlier this month to deal with personal issues.
North Melbourne confirmed on Thursday Shaw would not be returning to the club.
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"The North Melbourne Football Club and senior coach, Rhyce Shaw, have come to a mutual decision to part ways, effective immediately," a statement read.
Kangaroos chairman Ben Buckley spoke highly of the 39-year-old following the announcement.
“Since taking on the role as caretaker coach in the middle of the season in 2019 and then senior coach for 2020, Rhyce Shaw has given his all to the club," Buckley said.
"He has been an exceptional leader and is a man of the highest integrity. His work ethic is unparalleled and we are truly grateful for the time, effort and energy he’s put into the role."
Shaw took over as interim coach following the departure of Brad Scott last May, overseeing an on-field improvement from the team, winning four of his first five games in charge.
He was rewarded with the full-time head coaching job, the first such appointment of his career.
Unfortunately for Shaw and his team, they didn't carry their momentum through to 2020, winning just three games for the season, missing the wooden spoon on percentage.
Shaw requested time away from football following the end of the season, sparking speculation he wouldn't return to the job.
Following Thursday's announcement, Shaw suggested he would like to return to coaching in a development role, but requested privacy for the time being.
"I'm immensely grateful to the North Melbourne Football Club for the opportunity it afforded me as senior coach, and want to express my heartfelt gratitude to the football department and club staff, as well as North's incredible members and supporters, who together, endured an extraordinarily challenging season," Shaw said.
"Despite the challenges of the past year, my passion for football remains.
"The experiences I've had throughout my career developing young footballers to reach their potential has given me the greatest satisfaction and pride, and I hope to have the opportunity to contribute to this great game again in the future.
"For now, however, my focus is on taking time out, and I would ask that my privacy, and that of my family, continue to be respected at this time."
Buckley said the club were now beginning the process of putting together a panel to select the next coach.
