Tribunal Clears UK Firm of Racism in Decision to Reject Chinese Applicant Due to Security Risks

A recent ruling by an employment tribunal has clarified that denying job opportunities to individuals from China and Russia in companies focused on national security, which require security clearance, is not considered racist. According to the judgment, prohibiting candidates from “hostile” nations from taking certain positions in the defense sector is justified due to potential risks posed to British security.

This decision arose from the case of Tianlin Xu, a Chinese scientist who alleged racial discrimination after being denied a job at Binary AI Ltd, a British AI firm with connections to UK and US defense departments. Xu applied for a position at the company, but James Patrick-Evans, the founder, opted to hire a British candidate instead. In his correspondence with her, he conveyed, “Disappointingly, I’ve decided not to proceed with your application solely based on your nationality. As a company, we operate closely in sensitive areas with Western governments and aim to maintain that relationship. At this stage, we are unable to ensure the necessary security and separation controls required to hire someone of your nationality.”

Judge Baty, presiding in London, characterized the email as clumsy, pointing out that it seemed like an admission of direct racial discrimination based on nationality. However, he clarified that Xu was rejected because her nationality would prevent her from obtaining the necessary security clearance. The judge stated, “This rationale would apply to individuals of any nationality for whom security clearance cannot be attained, including those from Russia, North Korea, and Iran, in addition to China. The issue is not about nationality itself.”

The tribunal disclosed that Patrick-Evans had been “strongly advised against hiring a Chinese national” by defense officials he collaborated with. Binary AI holds a contract with the Defence Science and Technology Laboratory at Porton Down in Wiltshire, as well as with the Ministry of Defence, to create AI designed to detect hidden vulnerabilities in software.

In Baty’s judgment, he emphasized, “It is evident that software plays a pivotal role in the modern world, supporting our daily activities and various sectors of our society. It is crucial that the security and operational integrity of this software remains intact and protected from malicious hackers and state actors who might seek to influence political outcomes or acquire sensitive information.” Ultimately, Xu’s claims of both direct and indirect racial discrimination were dismissed.