He had decided to call time on his incredible managerial career in April last year, 42 years after his first job at Gainsborough Trinity.
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But the veteran coach has been persuaded to return to the sport by Huddersfield, who he will take over for the second time.
Warnock has agreed a deal to coach the Terriers until the end of the season.
It follows his first stint in charge in 1993 - 30 years ago - where he won promotion to the second tier via the play-offs.
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It continues a remarkable coaching career that has included spells at clubs including Cardiff, Sheffield United, Leeds and Crystal Palace and becomes his 20th job role across five decades in the dugout.
The move is expected to go down well with the supporters with Huddersfield sitting 23rd in the Championship.
Warnock's last job had come at Middlesbrough, who he left in November 2021 having broken the record for the most matches coached in English professional football with 1,602.
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The Sheffield-born coach has penned a similar deal to the one he signed at Rotherham in 2016, where he kept them in the Championship.
And Huddersfield will be hoping for a similar effect after sacking Mark Fotheringham after 21 games in charge.
The dismissal of the Scottish boss and appointment of Warnock means the club have had four managers in the last seven months.
"I'm really excited about this challenge," Warnock said.
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"My first spell at Huddersfield Town had everything; we went to Wembley twice, moved into the new stadium and really built the club from nothing. It was a special time.
"I'm coming back to help the club, but also [the chairman] Dean Hoyle.
"I know what he has done behind the scenes and I've always had a lot of time for him.
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"I've looked at the fixtures and we've got some fantastic games to come. I want to come back and put smiles on faces."