Ronald Koeman has been sacked as head coach of Barcelona after 14 months in charge at the Nou Camp.
Barca have picked up just 15 points from 10 games in La Liga and have already lost twice in the group stage of this season’s Champions League.
The loss was Barca’s third in their last four games and it followed defeat in Sunday’s Clasico to Real Madrid.
In a statement, the Spanish club said: “The president of the club, Joan Laporta, informed him [Koeman] of the decision after the defeat against Rayo Vallecano.
“Ronald Koeman will say goodbye to the squad on Thursday.”
The former Netherlands, Everton and Southampton boss, 58, could only guide the five-times European champions to third place last season.
Koeman has not been helped by the club’s financial problems, which resulted in Lionel Messi’s exit and subsequent move to Paris St-Germain in August.
Barcelona were unable to spend any money on new signings in the summer, with Memphis Depay, Sergio Aguero and Eric Garcia arriving as free transfers and striker Luuk de Jong joining on loan from Sevilla.
Speaking after Wednesday’s defeat, Koeman said: “It [Barcelona’s league position] says we’re not well.
“The team has lost balance in the squad, lost very effective players, which shows. In recent years other clubs have strengthened every season and we haven’t, which also shows.”
It is the first time since September 1987 that Barca have lost three away games in a row without scoring – a run that saw English manager Terry Venables sacked.
Koeman won the Copa del Rey at the end of his first season but Barca finished behind Atletico Madrid and Real Madrid in La Liga with their lowest points tally since 2008.
The former Netherlands centre-back played for the Spanish giants between 1989 and 1995, helping them to four league titles and the European Cup.
He was brought back to the club in August 2020 as head coach by former president Josep Maria Bartomeu.
New chief Laporta, however, frequently made it clear the Dutchman was not his appointment.
The duo had an uneasy relationship, and Koeman released a statement in September asking to be given time to rebuild after losing Messi and fellow forward Antoine Griezmann in the summer.
Following the defeat to Madrid on Sunday, Koeman’s car was surrounded by some Barcelona supporters, who he later dismissed as “uneducated people”.
Speaking before the trip to Rayo Vallecano, he said: “It is a social problem. Uneducated people that don’t understand rules and values.”
