Racial discrimination is basically discrimination on grounds of "colour, race, nationality or ethnic or national origins" (Race Relations Act 1976 s.3(1)). It includes victimisation and harrassment on racial grounds (as to which see Racial discrimination/victimisation and/or Racial discrimination/harassment ).

In the employment field, racial discrimination is generally unlawful if it is in connection with selecting a person for a job, the terms on which employment is provided, terms on which promotion and other benefits are provided or selecting a person for dismissal or subjecting him to any other detriment. The detail is fleshed out and described in Race Relations Act 1976 s.4. There are some exceptions when employment related race discrimination can be lawful (see for example Racial discrimination/defence of genuine occupational qualification ).

It can be unlawful discrimination on racial grounds to dismiss an employee because he disobeys racist instructions, for example to exclude non-whites from entry to the employer's premises ( Showboat Entertainment Centre Ltd v Owens EAT 1984 ICR 65, EAT) However that does not mean that a racially neutral employer (ie one who is not pursuing a policy of race discrimination or one who is pursuing a policy of anti-race discrimination) is liable for race discrimination because he dismisses an employee whose racist views are likely to cause violence in the workplace (see Redfearn v Serco Ltd CA 2006 EWCA Civ 659, Court of Appeal on 25th May 2006).

An employee who suffers from racial discrimination may be entitled to resign and claim constructive dismissal . An employer's instruction to an employee to treat customers or others in a racially discriminatory way can itself be an act of discrimination giving this right (see Showboat Entertainment Centre Ltd v Owens EAT 1984 above and Weathersfield (Van & Truck Rentals) v Sargent 1999 ICR 425, CA).

There is an important distinction between direct and indirect racial discrimination (see notes at Racial discrimination/direct and indirect discrimination ). The main importance of the difference is that indirect racial discrimination can be justified (and can then be lawful) whereas direct racial discrimination in the employment field cannot be justified and is therefore automatically unlawful.

The Commission for Racial Equality was merged into the Commission for Equality and Human Rights as from 1st October 2007 (see Institutions of employment law/Commission for Equality and Human Rights ). A semi-official organisation called the Race Relations Employment Advisory Service (RREAS) is now part of ACAS and provides a free telephone helpline for employers on matters concerning race issues in the workplace (for contact details go to ACAS/addresses, tel & fax nos ). In July 2006 a new Ethnic Minority Advisory Group ("EMAG") was set up under government auspices "to help ethnic minorities find work" (see 2006/07/11 - DWP Press Release "New advisory body to tackle ethnic minority unemployment announced").

Although not specifically related to employment law it should be noted that the Racial and Religious Hatred Act 2006 is in force from 1st October 2007 (see the The Racial and Religious Hatred Act 2006 (Commencement No. 1) Order 2007, SI 2007/2490). This Act makes "provision about offences involving stirring up hatred against persons on racial or religious grounds".

For notes on the EC Race discrimination Directive 2000/43 go to European Law/Directives etc/race discrimination directive .

See also Racial discrimination/discrimination in the employment field/unlawful discrimination and/or Religious discrimination .