Rambis will be the first addition to Fisher's staff. Fisher said at his introductory news conference that he hoped to add some experienced coaches to his bench.
Rambis has had three previous stints as an assistant coach for the Lakers, spanning 12 seasons in total. He worked in Los Angeles under current Knicks president and former Lakers coach Phil Jackson and was an assistant when Fisher played for the Lakers.
Rambis also was the Lakers' head coach in 1998-99, going 24-13 after Del Harris was fired. He has a strong knowledge of the triangle offense, which the Knicks are expected to implement.
An assistant coach for the Lakers last season, Rambis interviewed with general manager Mitch Kupchak for the team's head-coaching position late last month. That job remains vacant.
Rambis, 56, went 32-132 in two seasons as head coach of the Minnesota Timberwolves.
Rambis also played for the Lakers for nine seasons (1981-88, 1993-95), winning four championships.