Prior to the 1936–37 season, the Rangers signed Johnson to serve as the defensive coach while he continued to play. He appeared in 35 games but scored no points. Seeing little playing time, and having an offer to coach a minor league team, Johnson requested that the Rangers give him his outright release following the season. Believing that he had become too slow to play, the team agreed. He subsequently signed with the New York Americans, with whom he played one final NHL season in 1937–38.