Palermo sacked coach Serse Cosmi after Sunday's 4-0 defeat at Catania and put the reins back in the hands of former boss Delio Rossi.
Cosmi had only been appointed on February 28, shortly after Rossi's dismissal following a 7-0 home defeat to Udinese.
A short statement from Palermo said: "Palermo announces it has dismissed Serse Cosmi as first team coach and recalled Delio Rossi as his replacement.''
Cosmi lost his first two games in charge but steered the team to a 1-0 victory over Serie A leaders AC Milan before the international break.
"I am truly and profoundly bitter," Cosmi told Gazzetta dello Sport. "I am so disappointed that I don't feel like talking about it. At this time I can only thank all the people I have known in my brief spell in Sicily."
He added: "To the Palermo fans, I can only say how sorry I am for the defeat at Catania. I am in pain and I understand their disappointment."
Sunday's defeat in the Sicilian derby left Palermo in eighth place, seven points behind Roma, who hold the last European qualifying spot. Palermo host Cesena next weekend.
Meanwhile, Serie A strugglers Parma have fired coach Pasquale Marino after the 2-1 home defeat at the hands of bottom club Bari.