I do wonder if the scandal involving his son had anything to do with it? That did not speak very well of the culture that exists amongst the players.
It wouldn't have helped, but I suppose it could have had just as much to do with Pearson's own antics over the last year. That being said, Leicester's turnaround towards the end of last season was quite remarkable. Despite his rough edges (to put it politely), I can't see him staying unemployed for long.
As for his replacement at the Walkers, Steve Bruce comes highly recommended. By Steve Bruce.