BAE SYSTEMS AUSTRALIA LTD, BAE SYSTEMS AUSTRALIA DEFENCE P/L & BAE SYSTEMS AUSTRALIA LOGISTICS P/L

Case

[2014] SAEOT 3

29 August 2014


EQUAL OPPORTUNITY TRIBUNAL

(District Court Administrative and Disciplinary Division)

In the Matter of AN APPLICATION FOR EXEMPTION UNDER THE EQUAL OPPORTUNITY ACT 1984

BAE SYSTEMS AUSTRALIA LTD, BAE SYSTEMS AUSTRALIA DEFENCE P/L & BAE SYSTEMS AUSTRALIA LOGISTICS P/L

[2014] SAEOT 3

Judgment of His Honour Judge Costello, Member Ms A Bachmann and Member Mr R Altman

29 August 2014

HUMAN RIGHTS - DISCRIMINATION

Application by BAE Systems Australia Limited (BAE) for renewal of exemption, previously granted, to enable it to discriminate on grounds of nationality – applications by BAE Systems Australia Defence Pty Ltd and BAE Systems Australia Logistics Pty Ltd (wholly owned subsidiaries of BAE) for grant of exemptions to enable them to discriminate on same grounds – applicants’ businesses require them to have access to security sensitive material controlled by the Government of USA – that Government insists that persons of proscribed nationalities, who may be employed by or wish to be employed by the applicants, not have access to such material – grounds exist for a renewal (in the case of BAE) and a grant of the exemptions in the ‘wider public interest’ – Exemptions granted on same terms and conditions as the previous exemption granted to BAE.

Equal Opportunity Act 1984 ss 52, 54, 92, referred to.
Pulteney Grammar School v Equal Opportunity Tribunal & Ors [2007] SASC 308; BAE Systems Australia Ltd [2008] SAEOT 1; BAE Systems Australia Limited [2011] SAEOT 3, considered.

BAE SYSTEMS AUSTRALIA LTD, BAE SYSTEMS AUSTRALIA DEFENCE P/L & BAE SYSTEMS AUSTRALIA LOGISTICS P/L
[2014] SAEOT 3

Introduction

  1. On 20 July 2011 the Tribunal made an order that BAE Systems Australia Ltd (‘BAE’) be granted an exemption for a further period of three years pursuant to s 92 of the Equal Opportunity Act 1984 (SA) (‘the Act’) from the provisions of ss 52 and 54 of the Act to enable it to discriminate in its employment practices with respect to persons of particular nationalities on the same terms and conditions as set out in paras 64-66 of the Judgment of the Tribunal in Judgment No. [2008] SAEOT 1.

  2. On 17 June 2014 BAE applied pursuant to s 92 of the Act for a renewal of the exemption previously granted to it for a further period of three years from 21 July 2014 on the same terms and conditions as are referred to in paragraph 1.

  3. BAE Systems Australia Defence Pty Ltd (‘BAE Defence’) and BAE Systems Australia Logistics Pty Ltd (‘BAE Logistics’) are wholly owned subsidiaries of BAE.

  4. On 17 June 2014 BAE Defence and BAE Logistics applied pursuant to s 92 of the Act for a grant of the exemption previously granted to BAE for a period of three years from 21 July 2014 on the same terms and conditions as are referred to in paragraph 1.

  5. Although BAE Defence and BAE Logistics are wholly owned subsidiaries of BAE they seek separate exemptions because both companies employ personnel in South Australia. In addition, the exemption is sought to account for the Export Administration Regulations of the United States of America (‘EAR’) which also can create a requirement to exclude persons from work based on nationality.

  6. On 9 July 2014 the Tribunal made an order granting interim exemptions to BAE, BAE Defence and BAE Logistics for a period of two months commencing on 21 July 2014 on the same terms and conditions as are referred to above.

    The Legislative Scheme

  7. The Act relevantly provides:

    52—Discrimination against applicants and employees

    (1)It is unlawful for an employer to discriminate against a person on the ground of race—

    (a)in determining, or in the course of determining, who should be offered employment; or

    (b)in the terms or conditions on which employment is offered.

    (2)It is unlawful for an employer to discriminate against an employee on the ground of race—

    (a)in the terms or conditions of employment; or

    (b)by denying or limiting access to opportunities for promotion, transfer or training, or to other benefits connected with employment; or

    (c)by dismissing the employee; or

    (d)by segregating the employee from persons of other races; or

    (e)by subjecting the employee to other detriment.

    54—Discrimination against contract workers

    (1)This section applies to a principal for whom work is done by persons (contract workers) under a contract between the principal and another where the contract workers are employed or engaged by a person other than the principal.

    (2)It is unlawful for a principal to enter into a contract or arrangement with another for work to be performed by contract workers under which a person is to discriminate against a contract worker on the ground of race.

    (3)It is unlawful for the principal to discriminate against a contract worker on the ground of race—

    (a)in the terms or conditions on which the contract worker is allowed to work; or

    (b)by not allowing the contract worker to work; or

    (c)by denying or limiting access to a benefit connected with the employment or position concerned; or

    (d)by subjecting the contract worker to other detriment.

    5—Interpretation

    ...

    race of a person means the nationality (current, past or proposed), country of origin, colour or ancestry of the person.

    ...

    92—The Tribunal may grant exemptions

    (1)The Tribunal may, on application under this section, grant exemptions from a provision of this Act in relation to—

    (a)a person, or class of persons; or

    (b)an activity, or class of activity; or

    (c)circumstances of a specified nature.

    (2)An exemption under this section—

    (a)may be granted unconditionally or on conditions; and

    (b)may be revoked by the Tribunal on breach of a condition; and

    (c)subject to revocation, remains in force for a period, not exceeding three years, determined by the Tribunal, but may be renewed from time to time for a further period, not exceeding three years, determined by the Tribunal.

    ...

    (6)In determining an application under this section, the Tribunal may—

    (a)have regard (where relevant) to the desirability of certain discriminatory actions being permitted for the purpose of redressing the effect of past discrimination; and

    (b)have regard to other factors that the Tribunal considers relevant.

    ...

  8. Whilst we do not regard it as essential (in circumstances where a previously granted exemption is being sought to be extended on the same terms and conditions) to go into the background of the application exhaustively, reference to it is necessary in order to provide a context to the application particularly where it involves related entities making application for exemptions for the first time.

    Background

  9. The applications were supported, in part, by an affidavit from Stuart John Urquhart, Chief Counsel for BAE, which relevantly provides:

    7.     The BAE Group’s[1] business involves providing:

    [1]    The BAE Group comprises BAE, BAE Defence and BAE Logistics.

    (a)     integrated system and support solutions across the command control communications computers intelligence surveillance reconnaissance electronic warfare (C4ISREW), security and land forces domains and providing national warehousing and distribution services to the Australian defence Force through its Land & Integrated Systems (L&IS) Business Unit;

    (b)     maritime construction and support services in defence and commercial markets through its Maritime Business Unit; and

    (c)     aerospace and aviation support products and services for defence and commercial customers through its Aerospace Business Unit.

    8.L&IS operates its national warehousing and distribution line of business through BAE Logistics and BAE Defence. L&IS operates its other lines of business through BAE Systems Australia. Maritime operates its lines of business through BAE Defence. Aerospace operates its lines of business through BAE Systems Australia.

    9.In order to perform its work, it is necessary for the BAE Group to have access to and use certain:

    (a)     defence related security sensitive information,

    (b)     security classified information, technical data, equipment, goods and services and;

    (c)     export-controlled defence articles, defence services and technical data.

    10.Australian law restricts access to material under the Australian Security Intelligence Organisation Act 1979 (Cth) (ASIO Act) (Australian Classified Material). Under the ASIO Act, individuals must obtain personal security clearances (known as ‘security assessments’) (Australian personal Security Clearances) before they are permitted access to and use of Australian Classified Material. The Australian Personal Security Clearances are processed by the Australian Government Security Vetting Agency (AGSVA), Department of Defence. Australian Personal Security Clearances are only available to Australian citizens, and citizens of some other countries in limited circumstances.

    11.The laws of the USA also impose export controls on the transfer of material under the Arms Export Control Act 22 USC § 2778 (2004) (USA) (Arms Act) and the associated International Traffic in Arms Regulations 22 CFR § 120 (2003) (USA) (ITAR) (ITAR Material). The export controls include:

    (a)     a requirement, except as stated at paragraph 15.i.2. below, that the nationality and place of birth of personal who will have access to ITAR Material be identified and disclosed; and

    (b)     restrictions on access to ITAR Material by persons of particular nationalities or from particular countries of birth.

    For the purposes of this affidavit I will distinguish between ITAR Material which is classified by the USA in the interests of national security (Classified ITAR Material) and ITAR Material which is not so classified by the USA in the interest of national security (Unclassified ITAR Material).

    12.The Australian Defence Trade Controls Act 2012 (Cth) (DTC Act), which implements some changes to the way in which Australian Classified Material and ITAR Material is exported between Australia and the USA, is unlikely to substantially impact the restrictions outlined in paragraphs 10 and 11.

    13.Customers and subcontractors of the BAE Group located in, or who have dealings with, the USA, are required to satisfy the ITAR requirements before they can transfer ITAR Material to and from the BAE Group. These export controls are in turn transmitted to the BAE Group.

    14.The BAE Group is also required to observe the ITAR requirements as a condition of the contracts it has entered into with the Australian Defence Force and with contractors to the Australian Defence Force located in the USA.

    15.This means that in order for the BAE Group to have access to the ITAR Material which are essential for the conduct of its business, it may need to comply with a number of provisions, including:

    i.     ITAR §126.18 which allows BAE Group to make the determination of their employees pursuant so §126.18(c)(1) & (2):

    1.§126.18(c)(1) allows access to Unclassified ITAR Material to any BAE Group employee who has an Australian Personal Security Clearance.

    2.ITAR §126.18(c)(2) places the ultimate responsibility on the BAE Group to (a) screen its employees or contractors for substantive contact with certain proscribed countries set out in ITAR 126.1 when risk of diversion is the determining factor and not country of origin (birth) and (b) prohibit any employee or contractor who has ‘substantive contact’ with a proscribed country from accessing Unclassified ITAR Material unless and until specific approval is given for the individual to access Unclassified ITAR Material.

    ii.    ITAR §124.16 authorises access to Unclassified ITAR Material to those whose Nationality (birth) is from NATO countries, European Union countries, Australia, Japan, New Zealand and Switzerland provided access is within those territories or the USA.

    iii.     ITAR §124.8(5) can authorise access to Unclassified and Classified ITAR Material. Under longstanding USA regulatory practice the nationalities of all non USA foreign persons who will have access to Classified ITAR Material must be established. When determining nationality the country of origin or birth in addition to citizenship is considered.

    iv.     Australian Department of Defence Security Clearance Clause (ADOD Clause). The USA has concluded an arrangement with the Australian Department of Defence, with respect to access to Unclassified and Classified ITAR Material by dual nationals, which allows access to Unclassified and Classified ITAR Material to any BAE Group employee who holds an ADOD clearance. Even though §126.18(c)(1) (see paragraph 15.i.1 above) is similar to the ADOD clause (due to its authorisation based on possessing an Australian Personal Security Clearance), the ADOD clause provides broader coverage such as coverage of embedded contractors and coverage of classified transfers. This exemption clause is only available to BAE Group employees and contractors who do not hold nationality (country of citizenship or birth) of a country proscribed by ITAR §126.1.

    16.For the provision of access to ITAR Unclassified Material, the BAE Group will, where practical, seek authority for persons or contractors under ITAR 126.18 based on the relevant persons or contractors either having an Australian Personal Security Clearance or by screening the employee or contractor for substantive contacts with restricted or prohibited countries listed in ITAR §126.1. Substantive contacts include regular travel to such countries, recent or continuing contact with agents, brokers, and nationals of such countries, continued demonstrated allegiance to such countries, maintenance of business relationships with persons from such countries, maintenance of a residence in such countries, receiving salary or other continuing monetary compensation from such countries, or acts otherwise indicating a risk of diversion of ITAR Materials to unauthorised persons, countries or users. Although nationality does not, in and of itself, prohibit access, an employee who has substantive contacts with persons from countries listed in ITAR 126.1 is presumed to raise a risk of diversion, unless the USA determines otherwise. Under ITAR 126.18 the BAE Group must maintain a technology security/clearance plan that includes procedures for screening employees or contractors for such substantive contacts and maintain records of such screening for five years.

    17.Where it is impractical to seek authority for persons or contractors under ITAR 126.18, the BAE Group will be required to request nationality and place of birth information from the employee or contractor for the provision of ITAR Unclassified Material.

    For the provision of access to ITAR Classified Material, the BAE Group will be required to request nationality and place of birth information from the employee or contractor to assess if they are entitled to have access pursuant to ITAR §124.16, ITAR §124.8(5) or the ADOD Clause.

    18.For any of its employees or contractors who are required to work with ITAR Materials, the BAE Group will therefore be required to:

    (a)     request nationality and place of birth information from existing and potential employees and contractors;

    (b)     take a person’s nationality and place of birth into account when determining who is to be offered employment or contract work in areas requiring access to ITAR Classified and Unclassified Material;

    (c)     impose limitations or prohibitions on persons of particular nationalities or origins having access to such ITAR Classified and Unclassified Material;

    (d)     disclose the nationalities and place of birth of employees and contractors to the Australian Defence Force as well as the Government of the USA and customers and subcontractors located in the USA as required;

    (e)     for the purposes of ITAR 126.18(c)(2), request details from employees or contractors of regular travel to restricted or prohibited countries listed in ITAR 126.1., recent or continuing contact with agents, brokers, and nationals of such countries, continued demonstrated allegiance to such countries, maintenance of business relationships with persons from such countries, maintenance of a residence in such countries, receiving salary or other continuing monetary compensation from such countries, or acts otherwise indicating a risk of diversion;

    (f)     take substantive contacts referred to in paragraph 18(e) above, into account when determining who is to be offered employment or contract work in areas requiring access to ITAR Material;

    (g)     impose limitations or prohibitions on persons with substantive contacts referred to in paragraph 18(e) above, having access to such ITAR Material;

    (h)     disclose substantive contacts referred to in paragraph 18(e) above, to the Government of the USA and customers and subcontractors located in the USA as required;

    (i)    Identify through marking or labelling of employee and contractor identification passes to reflect ITAR access authorisation status.

    19.In addition to ITAR, the laws of the USA impose export controls under the Export Administration Regulations (EAR). Although most products under EAR do not require an export licence, if an item is listed on the Commerce Control List then an export licence is required. In such circumstances the BAE Group would be required to establish the nationality of its employees and contractors to determine eligibility for access. Nationality is determined by the last country of permanent residence or citizenship.

    20.For ease of reference, I refer hereafter to ITAR and EAR affected activities as being USA export controlled.

    ...

    22.The BAE Group’s business has broad benefits for the State of South Australia and Australia more generally, which include the following:

    (a)     The BAE group contributes significantly to the South Australian economy. As of 1 May 2014, it engaged approximately 1131 employees and contractors in South Australia, and is currently working on numerous contracts worth approximately $1.697 billion in total. The South Australian employees and contractors work at Edinburgh Parks, Mawson Lakes, Holden Hill, Wingfield, DSTO Edinburgh Parks, RAAF Base Edinburgh Parks, Adelaide Airport, Warradale Barracks and Woodside Barracks.

    (b)     The BAE Group’s main customer is the Australian Defence Force. The BAE Group’s operations contribute significantly to Australia’s defence capability as they allow the Australian Defence Force to access USA defence technology which cannot be obtained elsewhere.

    (c)     The BAE Group’s Australian headquarters are located at Edinburgh Parks in South Australia and whilst the BAE Group’s business is organised into business units which are based on technology and capability rather than along geographical boundaries, it has a significant present in South Australia. The BAE Group owns freehold premises at its Edinburgh Parks, Mawson Lakes and Holden Hill sites. The BAE Group in October 2012 made an investment of approximately $3.3 million at its facility at Edinburgh Parks for the development of a large titanium machining facility, to initially support the Joint Strike Fighter program (JSF) with the potential to support other engineering manufacturing programs.

  10. As part of their applications, each of the applicants has undertaken to take all reasonable steps[2] to minimise the impact upon individuals of their compliance with their export and import requirements.

    [2]    A summary of the relevant BAE Group policies and procedures is reproduced in Schedule A.

    Consequences if Exemptions not Granted

  1. In his affidavit Mr Urquhart asserts that if the exemptions are not granted it will have the following consequences:

    D1. Non-compliance with USA import and export controls

    64.Under USA law it is unlawful to violate the terms and conditions of an export licence or other approvals granted under the ITAR (22 CFR § 127.1 (2003)). Further, USA companies are responsible for the acts of persons authorised to export Controlled Defence Articles (ITAR 22 CFR § 127.1(a)(4) (2003)). A USA company could be subject to the following penalties for breaches of these requirements:

    (a)     on conviction, fines of up to US $1 million or imprisonment for not more than 10 years, or both, for each separate violation (ITAR 22 CFR § 127.3 (2003)); Arms Export Control Act 22 USC § 2778(c) (2004));

    (b)     civil penalties of up to US $500,000 for each separate violation (ITAR 22 CFR § 127.10 (2003)); Arms Export Control Act 22 USC § 2778(e), 2780(k) (2004));

    (c)     debarment from further defence contracts and, in particular, the export of Controlled Defence Articles (ITAR 22 CFR § 127.7 (2003));

    (d)     loss of company security clearances and related defence contracts;

    (e)     probation periods and interim suspension orders;

    (f)     under EAR the BAE Group would be subject to both criminal and administrative penalties and possible denial of expert privileges for breaches of the EAR.

    65.Because export controls binding on USA companies are in turn imposed on the BAE Group as a condition of undertaking business relating to or involving USA export controlled Material, the BAE Group needs to be able to comply with the export controls in its own right.

    66.The USA State Department of State has demonstrated a willingness to impose penalties on non-American companies who breach ITAR requirements. By way of example, BAE Systems plc entered into a Consent Agreement with the United States Department of State on 16 May 2011 whereby it agreed, amongst other things, to pay in fines and in remedial compliance measures an aggregate civil penalty of US$79 million (US$10 million being suspended) in complete settlement of alleged civil violations under the Arms Act and ITAR.

    D2. Breach of current contracts

    67.If the BAE Group does not comply with its obligations (and it is barred from dealing with USA export controlled material) it will be at risk of breaching its current contracts with the Australian Defence Force and other customers.

    68.consequences may include termination of the contracts and the imposition of penalties upon the BAE Group under the terms of the contracts.

    D3. Consequences for the BAE Group’s business

    69.Any of the outcomes described in paragraphs 64 to 68 above would be fundamentally detrimental to the BAE Group’s business in Australia.

    70.In particular, if any of the outcomes in paragraphs 64 to 68 above occurred, it is likely that the BAE Group’s business operations would be severely impacted with an associated loss of employment, skills and expertise relevant to the South Australian defence industry.

    D4. Consequences for Australia’s defence interests

    71.Because the BAE Group’s business is focused on entering into and carrying out contracts with the Australian Government on behalf of the Australian Defence Force, the outcomes outlined in paragraphs 64 to 68 above could also compromise the national interest by limiting the BAE Group’s capacity to develop and exploit technological goods and services which meet Australian defence needs into the future.

    72.If the BAE Group cannot undertake this work, the Australian Government would need to find other ways to have such projects completed. For example, the projects may need to be undertaken in the USA, at increased cost to Australian tax payers.

  2. We have no reason to doubt the veracity of these asserted consequences.

    Conclusion

  3. In summary, on the information presented to us and to previous divisions of this Tribunal, we are satisfied that the renewal of an exemption for BAE and the grant of exemptions for BAE Systems Defence and BAE Systems Logistics will serve the wider public interest referred to by the Supreme Court in Pulteney Grammar School v Equal Opportunity Tribunal & Ors [2007] SASC 308.

  4. We are further satisfied that to oblige BAE, BAE Systems Defence and BAE Systems Logistics to comply, in all their employment practices, with ss 52 and 54 of the Act, is to impose on each of them obligations, which are much more than merely ‘inconvenient’ or ‘irksome’, in the sense that there are no reasonably alternative means by which they can comply with the Act and still satisfy both the ITAR and EAR requirements.

  5. Accordingly we make an order pursuant to s 92 of the Act exempting BAE, BAE Systems Defence and BAE Systems Logistics from the provisions of ss 52 and 54 of the Act to enable them and each of them to discriminate in their employment practices with respect to persons of particular nationalities on the same terms and conditions as are set out in paras 64 to 66 inclusive of the judgment of the Tribunal dated 21 January 2008, bearing Judgment No (2008) SAEOT 1, save and except that the reference therein to International Traffic in Arms Regulations (ITAR) controlled material is amended to add a reference to Export Administration Regulations (EAR) controlled material and EAR controls. The exemptions are granted for a period of three years from the date of this Order.

  6. In addition, BAE, BAE Systems Defence and BAE Systems Logistics are to report to the Equal Opportunity Commissioner commencing from 31 December 2011 and annually thereafter for the duration of the exemption period on their compliance with the exemption requirements, and changes in their procedures reflecting amendments to the ITAR and EAR and how employees and contractors are affected in the context of the protections afforded by the Act.

    Schedule A

     
     

    Summary of relevant BAE Group policies and procedures

    A.    Equal Opportunity Exemption Standard

    1.    The BAE Group’s Equal Opportunity Exemption Standard (Standard) sets out the requirements which must be met in States and Territories where we sought and were granted an Exemption, whenever a person’s nationality or place of birth is taken into account in making work-related decisions. In particular, it requires:

    (a)Current and prospective employees and contractors to be notified about the BAE Group’s exemptions from anti-discrimination legislation in various Australian States and Territories (State Exemptions), and given a plain-English explanation about the potential effects of the State Exemption on them;

    (b)Employees and contractors to be provided with an explanation of the reason for their transfer if they need to be transferred between projects, areas or facilities on the grounds of nationality and that all reasonable steps are taken to avoid harm or loss as a result of such a transfer;

    (c)The nationality-coding on company badges and security passes be done in a way which does not reveal a person’s nationality or reasons for their level of access to Australian classified and/or ITAR Materials to a person unfamiliar with the code;

    (d)Information concerning security passes or badges, security clearance levels and access to Australian Classified Material and ITAR Material to be restricted to the Company Secretary, Human Resources Manager and Manager of Security on a strictly ‘need to know’ basis; and

    (e)Human Resources Managers of relevant jurisdictions must report on compliance with the requirements of the exemptions to the BAE Group’s legal department.

    B.    Compliance Questionnaire

    2.    A compliance questionnaire is completed by the human resources staff in each Business Unit who are responsible for implementing the Standard. This questionnaire is designed to monitor compliance with the State Exemptions.

    3.    The completed questionnaires are collated, recorded and maintained by the BAE Group’s legal department.

    C.    Training of existing employees

    4.    BAE Group has available to all employees a presentation that covers the following topics:

    (a)Requirements of the ITAR and DSM;

    (b)Potential consequences to the BAE Group of breaches of the legislation, especially the ITAR requirements;

    (c)State Exemptions granted to the BAE Group in various Australian jurisdictions and an examination of what a State Exemption is and why they are required by the BAE Group.

    (d)What the State Exemptions permit in each jurisdiction and what is not allowed; and

    (e)Mandatory and voluntary requirements for compliance with State Exemption requirements, audits and training.

    The presentation slides can be accessed and viewed on the BAE Group’s Equal Opportunity Exemptions intranet page by all employees at any time.

    5.    All BAE Systems employees receive some form of Export Controls Training depending on their level of involvement.

    (a)Those employees who are not involved in the import/export of goods from Australia will undertake Awareness Training.

    (b)Those employees who are involved in the import/export of goods or managing US Controlled Technology will undertake Enhanced Training providing them with, among other things, an understanding of the Australian equal opportunity legislation and exemptions.

    D.   Engagement of new employees

    6.    The BAE Group has implemented the following steps to ensure all new employees are aware of the existence of the State Exemptions and that they receive training about their specific requirements:

    (a)All applications for employment BAE Group are submitted online via the BAE Group’s Careers Page. ‘Your Job Centre’ has a link to information titled ‘Equal Opportunity Exemptions what they mean to you’.

    (b)The BAE Group’s requirement team uses a ‘Vacancy Checklist’ when inducting new employees to the recruitment team. The checklist prompts the recruitment team member to enter into a discussion with the applicant for a role regarding the State Exemptions and directs the recruitment team member to the various resources the BAE Group has available on the topic, including the intranet pages and the ITAR awareness presentations.

    (c)Any Business Unit of the BAE Group which has a vacancy and needs additional staff is required to complete a ‘Recruitment – Staff Requisition Form’ and forward the form to the Human Resources department for processing and actioning. In completing the form, the Business Unit must consider whether the proposed role will be affected by ITAR requirements and provide specific details of the ITAR requirements prior to submitting the form to Human Resources for consideration in the recruitment process.

    (d)Following receipt of the ‘Recruitment – Staff Requisition Form’, the Human Resources department completes a ‘Vacancy Brief’ form, which once again prompts the BAE Group to consider the ITAR requirements that may affect the specific role, by requiring details to be provided as to the nature of any specific ITAR requirements affecting the proposed role, including details of any proscribed nationalities under ITAR requirements.

    (e)In interviewing applicants for positions, the Human Resources team uses an ‘Interview Rating Sheet’, which prompts the interviewer to discuss the ITAR and State Exemption requirements with the potential applicant, if such requirements are relevant for a particular role and to request nationality and place of birth information from the potential employee if it is of significance for the role. The questionnaire is the same for all positions across the BAE Group.

    (f)The recruitment team also uses an ‘Applicant Phone Screen form’, which is in the initial phone interview which prompts them to consider the ITAR requirements that may affect the specific role.

    (g)New Human Resources staff, particularly those in the recruitment team, receive one-on-one training from the Recruitment Manager on the ITAR and State Exemption requirements.

    E.    Intranet Page

    7.    The BAE Group’s intranet has a page specifically dedicated to informing employees of the existence of the State Exemptions and an explanation of why they are necessary.

    8.    The page links to the Standard, BAE Group presentations, copies of the State Exemptions granted to the BAE Group entities, and links to websites for state, territory and federal anti-discrimination and human rights commissions


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BAE SYSTEMS AUSTRALIA LTD [2008] SAEOT 1