Ashworth joined the Red Devils as sporting director on July 1 after a lengthy period of gardening leave at Newcastle United.
talkSPORT understands that the two clubs agreed a £10million compensation package.
However, as first reported by The Athletic, the transition has not been smooth and an exit has been decided on.
Sir Jim Ratcliffe is believed to have played a key role in the decision to part ways.
Ratcliffe, and right-hand man Sir Dave Brailsford, put the 53-year-old in charge of 'football performance, recruitment and operations' at United.
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Jason Wilcox reported to him as technical director.
Ashworth had a meeting with chief executive Omar Berrada at Old Trafford following the club's 3-2 defeat to Nottingham Forest on Saturday.
He played a huge role in their £183million spending spree in Ineos' first transfer window.
United signed the likes of Leny Yoro, Manuel Ugarte, Matthijs De Ligt, Joshua Zirkzee, and Noussair Mazraoui.
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Ashworth also played a key role in the decision to hand Erik ten Hag a new contract in the summer.
He was quoted in the official club announcement in July when the club confirmed Ten Hag would be staying.
However, the appointment of Ruben Amorim was spearheaded by Berrard and not Ashworth.
Ashworth was also quoted by club media in each of the transfer announcements, showing how key he had been to things at the club.
He had been a long-term target for Ratcliffe in his overhaul of the football operations at Old Trafford.
"Dan Ashworth is clearly one of the top sporting directors in the world," United's co-owner said in February.
"I have no doubt he is a very capable person. He is interested in Manchester United because it's the biggest challenge at the biggest club in the world.
"It would be different at City because you're maintaining a level. Here it's a significant rebuilding job. He would be a very good addition."
It took four months of negotiations between Man United and Newcastle to agree on a compensation package to help the Magpies comply with Premier League Profit and Sustainability rules.
At one stage Newcastle were believed to be demanding up to £20m in order to rip up his deal at St James' Park.
They agreed on a deal believed to be half that figure.
Man United currently sit 13th in the Premier League following their defeat to Nottingham Forest on Saturday.