Inside sources confided to our partner blog FishbowlLA in an exclusive that Yahoo!, via an email from departing CEO Jerry Yang, told its California employees that on Wednesday, as many as 1,500 employees will be laid off.

One employee who read the e-mail said Yang talked about the need to make cutbacks. "This was in keeping with his statement in mid-November that Yahoo! would have to layoff as much as 10% of its global workforce. He targeted Dec. 10 as D-Day for these employees," the article said.

The report also said that human resources will likely take the biggest hit because their expenses are cost-based and most of their costs are staff.