Here is some of the reaction to the news from people involved in football:
Former Liverpool player and manager Graeme Souness said on Sky Sports News: "Part of me is shocked and part of me isn't shocked.
"You'd think his track record would buy him a bit of time, but I think on the other side of the coin you look at what's happened at Chelsea this year and there has to be something fundamentally wrong.
"There are more than two or three people not pulling their weight, for whatever reason.
"I think he's lost his dressing room and some of the major players in the dressing room have given up on him
If you fall out with two or three of the main men in the dressing room, that would quickly become all of the dressing room
"If you look at the quality of players Chelsea have right now, where they are in the league is ridiculous - they should not be down there."
Sunderland boss Sam Allardyce said in his press conference ahead of Saturday's game at Chelsea: "I'm sad to see Jose go
"I've got to know him quite well
He's a great manager with great character and he is a loss to the Barclays Premier League.
"Only time will tell if there's a better performance or reaction from the players
It'd be a pretty bad indictment on the players if they actually go and perform a lot better than they have done recently just because Jose has lost his job.
"At the end of the day, because of the underachievement that's happened at Chelsea, even a great man and a great manager like Jose has lost his job.
"That shows you we're all in the business of results and if you don't get those results, it doesn't matter how good or popular we are, if we don't get it right we'll lose our position."
Source : PA
Source: PA