The Magpies survived the drop by the skin of their teeth, finishing 16th - only two places above the relegation zone - which came on the back of their impressive fifth spot 12 months ago.
There had been some reports Pardew was set for the axe but the 51-year-old has been reassured after talks with owner Mike Ashley and managing director Derek Llambias on Wednesday.
Llambias said: "There has been a great deal of speculation in recent weeks but our desire, as we announced back in September, is to bring long-term stability to this club.
"It's up to us all now to work closely as a team to ensure next season sees us competing in the top half of the table again. Everyone connected with the club was disappointed to finish where we did last season, particularly on the back of such a fantastic year prior to that.
"Our discussions on Wednesday were very constructive and we pinpointed a number of factors that contributed to a season which fell below expectations.
"We are now looking forward and are entirely focused on the forthcoming campaign, with the expectation of at least a top-10 finish in the Premier League.
"We would all like to thank the fans for their continued support and assure them we remain committed to providing affordable football at St James' Park."
Pardew arrived at the club in December 2010 on a five-and-a-half-year deal and following last season's fine run was handed an eight-year contract in September.