Bowa spent last season as a television analyst after being fired as manager of the Philadelphia Phillies following the 2004 campaign. He replaces Luis Sojo as the Yankees third base coach.
Bowa has over 34 years of experience as a player, coach and manager. He previously served as third base coach for the Phillies, LA Angels of Anaheim and Seattle during a 12-year span starting in 1988.
He was named manager of the Phillies in 2001 and served the organization until he was fired after the 2004 season. Bowa was named National League Manager of the Year in 2001.
Bowa, starting shortstop for Philadelphia's 1980 World Champions, played 16 seasons in the majors with the Phillies (1970-81), Chicago Cubs (1982-85) and New York Mets (1985).
The five-time National League All-Star played in 2,222 games at shortstop.