Last year's event was due to take place at a Donald Trump-owned course but cancelled following disparaging comments the US presidential candidate made about Mexican immigrants.
A PGA statement said: "The timing is right to discontinue the event."
It added: "When the PGA Grand Slam of Golf was launched in 1979, the golf world was much different than it is today. The PGA Tour's wrap-around schedule, the European Tour's Race to Dubai, plus other important international events, make the fall schedule very busy and hectic for the top players in the world.
