West Ham co-owner David Gold has told Paolo Di Canio there is no job for him at Upton Park and they intend to open talks with Sam Allardyce over a new deal.
Di Canio has been strongly linked with the managerial position at West Ham after he left Swindon this week.
The Italian is a cult hero with the Hammers fans and many have been calling for him to become the next manager.
Even though Allardyce managed to secure promotion back into the top flight in his first season in charge, a section of the West Ham support are still unhappy with his style of football.
But Gold is adamant they have no plans to appoint Di Canio as his replacement and says they will be sitting down with Allardyce to discuss a new contract at the end of the season.
Gold told SportsDirect News: "I want to make this absolutely clear there is no managerial vacancy for Paolo or anyone else at the club. There is no job available.
"I understand he is an absolute hero here but as we have said previously we will be holding talks with our manager Sam Allardyce at the end of the season and that's exactly where things stand."