Sacked Matildas coach Alen Stajcic is considering legal action after being dismissed just five months out from the World Cup.
Stajcic was on Saturday axed after a damning review of the national team's workplace culture though several senior players reacted with dismay when learning of the development.
Football Federation Australia chairman Chris Nikou and chief executive David Gallop announced the decision at a media conference following an FFA board meeting on Friday night.
Gallop said the decision was based on the results of two confidential surveys as well as discussions with players and staff.
"The ultimate responsibility for leading the team environment and driving change in culture and environment rests with the head coach. We no longer feel confident Alen is the right person to lead the team and the staff," Gallop said.
"There's definitely some serious findings from the surveys and discussions and a view that things have deteriorated in recent times.
"It's fair to say that workplace issues around the culture of the set-up but it's difficult to go into specifics."
The race is now on to find an interim coach before the inaugural Cup of Nations tournament, which starts at the end of February, and for preparations for the Women's World Cup in France, which starts in June.
Stajcic was informed of his sacking after being called into FFA headquarters on Saturday morning.
Football Coaches Australia said it was providing legal representation for Stajcic.
"Alen has overseen one of the most successful periods in Australian football history, having led the Matildas to the quarter finals of the 2015 World Cup and 2016 Olympic Games, the final of the 2018 Asian Cup, as well as being the inaugural winner of the Tournament of Nations in 2017," FCA President Phil Moss said.
Under Stajcic the Matildas rose to sixth in the world and were considered contenders for this year's World Cup, however his termination has thrown their preparation into turmoil.
It was reported that disharmony between some players and coaching staff had prompted the two-month review.
However, that version of events was disputed by several Matildas players via social media on Saturday.
Kyah Simon said on twitter: "Shocked/disappointed to hear Staj won't be taking us to the World Cup in less than 5 months."
Chloe Logarzo added: "Shattered with what we have found out TODAY."
While Lisa De Vanna posted a cryptic animated message with a woman exclaiming "the lies, the lies".
Australian Associated Press