We propose here a device for measuring the ellipticity of light. Its core element is a polarization diffraction grating. As far as we know, no other similar device has been developed so far. To record the grating holographically we used a Mordant Pure Yellow azodye in a matrix of gelatin. This media acquires relatively high values of birefringence (over (Delta) n = 0.02) which can be stable for more than a year and no surface relief appears during the recording Thanks to these advantages we succeeded to record polarization diffraction gratings that can be used as circular analyzers. Diffraction efficiency of 67% is achieved at 633nm. Based on that polarization grating, a novel type of a compact ellipsometric device working with white light was built. The different wavelengths are spatially separated and measured by means of a CCD line. The device has no moving parts and permits measuring of the ellipticity at different wavelengths simultaneously in real time at a high speed (only electronics limited). Initial experiments with the device were done.© (2001) COPYRIGHT SPIE--The International Society for Optical Engineering. Downloading of the abstract is permitted for personal use only.