Green made the move from Brisbane to Essendon at the end of the 2016 season, and has played 105 AFL games since making his debut in Round 9, 2011.
Essendon coach John Worsfold thanked Green for his services at the club.
“On behalf of the club I would like to thank Josh for his efforts in his two years here,” Worsfold told essendonfc.com.au.
“Josh was a very well-liked member of the playing group and he performed well in his games for the club, showing leadership both on and off the field.
“Unfortunately, he was curtailed by injuries at crucial times but always stayed positive.
“We wish Josh all the best with his future endeavours.”