A polarized fiber laser source includes a fiber laser 10 comprising a pair of Bragg gratings 14,16 at opposite ends of a fiber laser cavity 18 which is doped with a rare-earth dopant so as to allow lasing to occur at a lasing wavelength .lambda..sub.L. A grating tap 26 is provided along a portion of the laser cavity 18 to couple-out a predetermined amount of light along one polarization, e.g., the "s" polarization", at the lasing wavelength .lambda..sub.L. This causes one polarization mode to experience more loss than the other, thereby allowing the fiber laser to lase only on the less lossy polarization mode and causing the laser output light 40 to be polarized only along such polarization.