New Redskins general manager Bruce Allen made the decision Monday morning after the team completed a disastrous 4-12 season with a 23-20 loss to San Diego.
"The status quo is not acceptable," said Allen in a statement. "I felt it was necessary to not waste a moment of time building this team into a winner."
Allen was hired on December 17 after Vinny Cerrato resigned as executive vice president of football operations.
The Redskins were 12-20 in two years under Zorn, who had one year remaining on his contract.
Zorn replaced the legendary Joe Gibbs, who retired for a second time in early January of 2008. The former Seattle Seahawks star quarterback and quarterbacks coach was originally hired as Washington's offensive coordinator in late January 2008, then was elevated to the head coaching position two weeks later despite never being a coordinator on the NFL level.
The Redskins got off to a fast start under Zorn, opening the 2008 campaign with a 6-2 record, but they stumbled down the stretch and finished 8-8. The team struggled to start 2009, including a loss to Detroit that ended the Lions' 19-game losing streak. Zorn's job security became a topic of speculation, especially after he was stripped of play-calling duties in late October.
After a win over Denver, Washington lost three straight games -- each when holding a fourth-quarter lead -- then beat Oakland before ending the season with losses to the New York Giants, Dallas and San Diego.
The last three setbacks came after Allen was hired and the new GM's first look at Zorn included a bizarre fake field goal at the end of the first half in a Monday night game against the Giants that eventually ended in a 45-12 loss.
Team owner Daniel Snyder could have a replacement for Zorn ready to go, as he did when Allen took over the front office duties just hours after Cerrato resigned.
Former Broncos head coach Mike Shanahan has been rumored to be Snyder's top choice, and it has been reported that the Redskins have already complied with the "Rooney Rule" by interviewing Jerry Gray, an African-American who is currently the club's secondary coach.
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