Everton are stuck down in 12th place as things stand, and Parlour feels that they have badly underperformed.
The former Arsenal midfielder claims that the Toffees should be in a similar position to West Ham United and challenging for a top six spot.
“The league position they’re in…they should be where West Ham are - 5th, 6th, 7th,” he said. “They should be trying to get into Europe.
“They haven’t performed under him. At Goodison Park, their record is awful. It’s been far too easy.”
Everton’s poor performance this season has seen manager Roberto Martinez fall under serious pressure.
The Spanish boss is losing support by the game, and chants against his management have been heard at recent matches.
It is now hard to see Martinez keeping his job, with Everton believed to be discussing potential replacements.
Things could yet get worse for Everton this season, too, as their form is poor.
The Merseyside club have won just one of their last nine matches in all competitions, and they could fall down to as far as 16th place in the Premier League before the end of the season.