The veteran second baseman said in July he would retire at season's end in order to be a full-time dad to his two young sons. He turns 40 next month.
Utley played his first 13-plus seasons with Philadelphia, where he was a key member of the 2008 World Series championship team. He helped the Phillies win five straight NL East titles from 2007-11.
The six-time All-Star was traded to the Dodgers in 2015, where he was a valued clubhouse presence while his on-field role was reduced to part-time.
Utley hit .275 with 259 home runs and 1,885 hits in his career. He also was hit by pitches 204 times.
The Dodgers made the move Friday.