The Welshman has been relieved of his duties after Town sacrificed a 2-0 lead against MK Dons last night – the third League One game running they have surrendered victory – dropping to 23rd after going winless in eight.
The club have said that the search for his replacement has begun and they will aim to find the right replacement as soon as possible.
Ricketts is joined out the Montgomery Waters Meadow exit door by assistant Dean Whitehead.
The club have not revealed who will be in caretaker charge but it is understood goalkeeper coach Brian Jensen, who has not departed, is a likely candidate ahead of the FA Cup with non-league Oxford City on Sunday.
The decision to terminate Ricketts’ contract, which had six months left to run, came after enormous pressure from angry supporters who have demanded change.
Ricketts, 39, spent almost exactly two years at the Meadow but leaves after just 28 wins in 96 games in all competitions.
Pressure ramped up on Ricketts after a run of consecutive league defeats left Town well below what is expected in the third tier standings.
Ricketts was left extremely angry with referee Darren Drysdale and his officials last night after he felt his side had two legitimate first-half goals ruled out for offside. The former Wrexham boss’ post-match interview was cut short after he did not entertain other lines of questioning.
As well as winning just once in 13 to begin the League One season, Shrewsbury’s desperate league form stretching back to Boxing Day 2019 reads three wins from 27 games.
Ricketts has won just 17 of his 73 league games in charge of Town, with a win percentage of just 23.3 per cent. That figure rises to 29.2 per cent in all competitions after former Telford and Wolves defender Ricketts guided Town to the fourth round of the FA Cup on two occasions.
The club’s board finalised the decision with Town next in action in the FA Cup against non-league Oxford City, of the National League South, in a lucrative televised second round tie on Sunday.
Salop are not in league action until next Wednesday, when in-form Accrington Stanley head to Montgomery Waters Meadow on the night fans are expected to make their return after lockdown is lifted.
It is believed the club had decided that change was required some time ago but decided to make a change after the last-gasp defeat at Ipswich on Saturday, instead choosing to act after Shrews lost their two-goal lead at fellow lowly outfit MK Dons.