Cleveland's move came after Gordon - who was ruled out of Sunday's game against the New Orleans Saints with a hamstring injury - reportedly did not arrive to the Browns' facility on time earlier in the day.
Schefter later tweeted that league sources think the Browns will attempt to trade Gordon prior to Monday.
Browns general manager John Dorsey said in a statement that the team has informed Gordon's representatives that he will be released Monday.
"Unfortunately, we've reached a point where we feel it's best to part ways and move forward. We wish Josh well".
It is unclear specifically why the Browns chose to cut ties with Gordon, but his release will bring to an end a saga of off-the-field problems related to Gordon's substance abuse suspensions and addiction. Gordon was on the field for 69 snaps (78 percent of the Browns' plays), but had only three passes thrown his way. The question of how is part of the reason they released him.
Gordon's recently injured hamstring also is an issue, as ESPN's Jordan Zirm reported the receiver injured the hamstring during a promotional shoot Friday night.
"I know I'm going to be here playing football, and anything outside of these walls, I think I have the right people in place to help me in any way in which I need them to help me", Gordon told Browns Zone in late August.
Gordon hauled in a 17-yard touchdown pass from quarterback Tyrod Taylor that allowed the Browns to draw even with the Steelers and force overtime, where the game ended in a 21-21 tie, a first in the 68-year history of the rivalry.