The 27 year-old winger has a year left on his $4.725 million AAV contract.
He's yet to play a game this season. He was healthy-scratched since the season began.
Frank Seravalli said:
"Sources say #sjsharks will be placing forward Kevin Labanc on waivers today.
Labanc has been a healthy scratch for all three of San Jose's games to start the year. He's in the final year of his deal at $4.725 million and has averaged 0.5 ppg over 432 career GP."
In 432 NHL games, he scored 216 points including 80 goals.