We have reported yesterday that Sony will fire 8,000 employees and we have to bring another similar piece of news today, as we just found out that Microsoft is also planning to cut off personnel – 1,500 in California and 200 in LA. This is not an officially confirmed new right now, but various reports quoting inside sources say it’s true.

According to MediaBistro, an email sent by CEO Jerry Yang announced that Microsoft plans to fire 1,500 employees in California, offering the need for cutbacks as a reason. Also, it appears that 200 people working for Microsoft in LA will also be fired today – making it a total of 1,700 jobs cut. A much lower number than the job cut from Sony, but there are still lots of people about to lose their job so close to the holidays.

According to the reports, the job cuts will be generally across the board, but human resources will likely take the biggest hit because their expenses are cost-based and most of their costs are staff. It also appears that until now no measures were taken and Microsoft did not confirm nor deny the rumors. We will certainly know for sure later today.

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