Herrera was suspended for the season's final 85 games for violating MLB's joint domestic violence, sexual assault, and child abuse policy last July. The suspension stemmed from an arrest in May following an altercation with his girlfriend in Las Vegas.
The club owes Herrera $19.5 million for the remainder of his contract, according to Matt Gelb of The Athletic.
Herrera's time with the Phillies isn't necessarily over. The club has a week to trade, outright, or release him, so he could wind up in minor-league camp during spring training.
An All-Star in 2016, the 28-year-old has spent parts of five seasons with the Phillies. He's hit .276/.333/.423 with 60 home runs, 122 doubles, and 233 RBIs across 631 games.
Martini, meanwhile, was DFA'd by the Reds to make room on the roster for outfielder Shogo Akiyama. He hit .226 with a .653 OPS in 32 games split between the Oakland Athletics and San Diego Padres last season.