At the national level, there is ample evidence of considerable racial inequality in employment in Britain. The two main components of this inequality are discrimination and disadvantage. Under the Race Relations Act of 1976, industrial tribunals are empowered to impose penalties on those who discriminate unlawfully, but the Act does not impose an obligation on employers to actively prevent discrimination. It is in the context of preventing discrimination that an Equal Employment Opportunity Policy (EEOP) is considered necessary. Very few employers in Britain have formulated EEOPs, unlike the situation in the United States where active government intervention and harsh penalties for offenders have made EEOP a reality. In Britain, however, statutory penalties are so light that most employers can budget for the risk. Employers vary in the degree of their commitment to equal employment opportunity. The most complete strategy is pursued by the employer who has recognized that his is not a white company with a multiracial workforce, but rather a multiracial organization. Ideally, an EEOP should refer to women as well as racial minorities, and should create procedures for bringing about change within the organization, indicating the direction in which the change should occur. (RLV)