The 49-year-old, who joined the club in January, has committed to the role after leading the side to Premiership safety.
During an initial interim spell in charge, Gold has helped orchestrate significant improvements as Warriors have picked up 17 points in just seven games – a run which has included memorable victories over Saracens, Bristol and Bath.
Warriors chairman Bill Bolsover said: “We have been pleased with the progress we have made since Gary took over as Director of Rugby on an interim basis and the players have really bought in to his rugby philosophy.
“Gary has been able to lead the side to some great results over some very tough opponents and we believe he will be able to build on his good work to help the Club continue to move forward during the 2017/18 campaign.”
Gold added: “I have thoroughly enjoyed my first three months at Sixways and I am delighted to be able to commit to the club on a permanent basis.
“My focus at present is to ensure we finish the season on a high so that we are able to lay the foundations to bring future success to the club.”
Before his move to Sixways, Gold picked up extensive experience at the highest level of the game in the northern and southern hemispheres.
He began his coaching career in 2001 as Forwards Coach at London Irish before stepping up to Head Coach in 2003 for two years.
A stint as Head Coach with South Africa’s Western Province followed before he became the Stormers’ Technical Director and then Assistant Coach in Super Rugby.
He spent four years as part of the South Africa international set-up as Assistant Coach from 2008, working closely with the forwards as his country beat the British & Irish Lions and won the Tri-Nations in 2009, before dominating their Rugby World Cup pool in 2011 to reach the last eight.
Gold had an interim spell at Newcastle Falcons and then joined Bath as Director of Rugby in May 2012 before taking up the same role at Durban-based Super Rugby side the Sharks in 2014.
Thanks to ….