Charlotte was 7-59 this past season, setting an NBA record for lowest winning percentage (.106). The team hasn't won since a 107-103 victory over Toronto on March 17 and didn't manage back-to-back wins all season.
"I would like to personally thank Paul for everything he has done for this team under some pretty unique circumstances," said Bobcats President of Basketball Operations Rod Higgins. "His basketball experience as a coach and a player speak for themselves.
"We have been fortunate to have someone of his character associated with this franchise and we hope he will continue to be a valuable resource to us in the future."
Silas coached in Charlotte for about 1 1/2 seasons. He was hired as interim head coach Dec. 22, 2010, replacing Larry Brown. The team was 32-88 under him.
Silas has coached parts of 12 seasons, starting in 1980-81 with the San Diego Clippers. He also coached the Hornets -- both in Charlotte and New Orleans -- and Cleveland Cavaliers. His overall coaching record is 387-488.
A three-time NBA champion and twice an all-star as a player, Silas is up for consideration this year to induction to the Naismith Basketball Hall of Fame.
Notable deaths of 2014 [PHOTOS]
Michael Sam cut from the Dallas Cowboys