The microstructure evolution in both surface and bulk grains in a pure Fe-19Cr-12Ni alloy has been analyzed using electron backscatter diffraction after tensile testing interrupted at different strains. Surface grains were studied during in situ tensile testing performed in a scanning electron microscope, whereas bulk grains were studied after conventional tensile testing. The evolution of the deformation structure in surface and bulk grains displays a strong resemblance but the strain needed to obtain a similar deformation structure is lower in the case of surface grains. Both slip and twinning are observed to be important deformation mechanisms, whereas deformation-induced martensite formation is of minor importance. Since the stacking fault energy (SFE) is low, similar to 17 mJ/m(2), dynamic recovery by cross slip of un-dissociated dislocations is unfavorable. This reduces the annihilation of dislocations which in turn leads to a significant increase of low angle boundaries with increasing strain. The low SFE also favors formation of deformation twins which reduces the slip distance, leading to a hardening similar to the Hall-Petch relation. The combination of a low ability for cross-slip and a reduced slip distance caused by twinning is concluded to be the main reason for maintaining a high strain-hardening rate up to strains close to necking.