Hereford at South Shields earlier this season. Picture: Andy Walkden |
In a statement, the club said it wanted to express its sincere gratitude to Julio and Tommy for their efforts during their time at 1st Cloud Arena and wishes them both well for their future endeavours.
Argentine Arca, who as a player turned out for Sunderland and Middlesborough, was described by South Shields as "one of the main catalysts of the club’s growth over the last eight-and-a-half years and will always be regarded as a club legend".
He had played for South Shield between 2015 and 2018 before being appointed their manager earlier in the year.
"We regret that his time as first-team manager has come to an end, but this decision has been made as a result of on-pitch performances and results over the last six weeks," the statement added, with the club now eighth in the league after a strong start to the season.
"Julio, Tommy and their families will always be welcome at 1st Cloud Arena.
"Elliott Dickman will lead the first-team on an interim basis following Julio and Tommy’s departures, and he will be supported by Lee Picton.
"The club will make no further comment at this time."
Over the past eight years, South Shields have won four league titles and three cup competitions, and last season were promoted to the National League North under former manager Kevin Phillips.
But Arca's last match in charge was on Boxing Day where his side fell to a 3-1 defeat at home to mid-table Blyth Spartans.
But the disappointing results have spanned several weeks, not winning since a 5-2 victory at Spennymoor Town on November 14.
The club is also up for sale, with Geoff Thompson’s decision earlier this month catching some by surprise - but he revealed his decision was instigated by a cancer diagnosis he received last year and his ongoing recovery.
He has owned the club since 2015.
The news comes less than 24 hours after Darlington decided to part company with Josh Gowling.