Allen hasn't featured for the Eagles this year after suffering a foot injury in the pre-season, keeping the promising swingman to limited duties in his efforts to return to AFL level.
Edwards played three matches between Rounds 2 to 4 this year before suffering a groin injury in his side's only win of the season against Collingwood.
The unclear immediate playing futures for both Allen and Edwards have prompted the Eagles to move the hindered pair to the inactive list, giving Adam Simpson further list flexibility at the next talent intake.
Speaking to media on Friday, Simpson stated the twin decision was a "calculated decision" as the club looks to move through a nightmare 2022 campaign.
“We made a calculated decision with those guys. It’s about the individuals," Simpson said.
"Even if they got themselves perfectly right, it would be Round 21/22, that’s everything going right.”
Eagles football boss Gavin Bell stated it was a tough but necessary decision.
“After discussions with the players and medical staff we have decided in the best interests of their welfare to ease back on the workloads of both players,” Bell told the club's website.
“While it is extremely disappointing, we have to consider the bigger picture.
“We would dearly love to have both Oscar and Luke out there helping us to achieve the best possible results at the back end of the year, but the medical advice is that they would benefit from a conservative rehabilitation.
“Given that we are almost at the halfway point of the season and they would need a considerable block of training before they could look at resuming, it is in the best interests of both players to wind back and take a long-term view.
“Oscar and Luke are both great competitors and want to help us improve in the short term, but they will remain integral in the program as they support of their teammates for the rest of the season.”
Among the available selections for the Mid-Season Rookie Draft is Eagles top-up player Jake Florenca, who gained an exemption for the draft earlier this week.
Having not nominated for the 2021 National Draft last season, Florenca required the all-clear from the league to be available to AFL clubs for the June 1 draft.
The South Fremantle onballer has been dominant in the WAFL this year, Averaging 30 disposals, eight tackles and a goal per match with the Bulldogs.
The 25-year-old impressed in his sole appearance under Simpson this season, collecting 19 possessions, seven tackles and four clearances in just 65% time on ground against Brisbane in Round 8.
Among West Coast's COVID contingency list; Stefan Giro (Subiaco), Tobe Watson (Swan Districts), Sam Fisher (Swan Districts), Damon Greaves (East Perth), Logan Young (West Coast), Tom Blechynden (South Fremantle) and Brayden Ainsworth (Perth) were all nominated for last year's National Draft.
The 2022 Mid-Season Rookie Draft order will be the reverse of the AFL ladder order following the conclusion of Round 11.