Bynum was suspended for the Cavs' game Saturday in Boston for conduct detrimental to the team and was docked one game check, which cost him about $111,000.
He remains excused from all team activities indefinitely, including Sunday night's home game against the Golden State Warriors, according to the Cavs.
Bynum was suspended following an incident at the team's practice Friday but the decision was the culmination of events over the last several weeks, sources told ESPN.com.
Bynum has wavered on his interest in continuing his career after missing all of last season with knee injuries.
The Cavs have put Bynum on the trade block and have until Jan. 7 to decide whether to guarantee the second half of his $12.25 million salary this season.
Because of his team-friendly contract that is only half guaranteed this season and fully nonguaranteed next season, Bynum remains somewhat valuable as a trade chip.
He played in 24 games for the Cavs, with 19 starts, and averaged 8.6 points and 5.3 rebounds in 20 minutes a game. In all likelihood, he's played his last game for Cleveland.