Councillors privately received the announcement of Georgina Blakemore’s resignation at a meeting on February 21.
Ms Blakemore will also vacate her board positions in the council’s wholly-owned companies, TVS and Qualis.
Strategic director Andrew Small has been named as the council’s new acting chief executive.
The council’s chief operating officer, Jennifer Gould, was also appointed as acting deputy chief executive.
Councillor Chris Whitbread, leader of Epping Forest District Council, said: “Georgina has been suffering from ill health for some time.
“While we always hoped Georgina would be able to return to work, our strategic directors, Jen Gould and Andrew Small, have been doing a terrific job in Georgina’s absence.
“We are fortunate to have such strength and depth of skill and experience.
“I would like to thank Georgina for her dedicated service to our council and our residents.
“We will certainly miss her and wish her the very best for the future.
“In consultation with other members of the cabinet, and group leaders, I am therefore pleased to confirm that Andrew was appointed by full council as our new acting chief executive and Jen was appointed to a new role of acting deputy chief executive.”