'Tis Better to Give Than Receive' (Excerpt from December 1999 Circuit)

The holiday season is a good time for ES3 employees to refresh their memories about Northrop Grumman's policy regarding Gifts and Gratuities. Individuals are reminded to remember that employees should not accept any gifts from suppliers.

Northrop Grumman's policy, as noted in the "Standards of Business Conduct" and Corporate Procedure A201, says employees and members of their immediate families may not accept gifts from our suppliers or potential suppliers. This policy goes beyond the letter of the law. The company does this to avoid even the appearance of improper conduct in our business dealings.

If you do receive a gift from a supplier or vendor, you are requested to return it unless there are special circumstances that make returning it impractical. For example, a perishable gift of small value may be openly shared with co-workers or made available to the Holiday Giving Program. The Holiday Giving Program will donate the gift to a community agency or use it as a fundraiser and donate the proceeds. Whether you return the gift or not, a note should be sent to the giver, indicating our policy.

Here is a sample of such a note that has been sent in the past:

"I am returning the holiday gift that I recently received from you. While I appreciate the good intention of your gesture, it is a Northrop Grumman policy that employees do not accept gifts from our suppliers. Thank you for your goodwill, and best wishes for the holidays."

If you are not returning the gift, the paragraph above might be changed to read:

Thank you for your recent gift. Since it would be impractical to return it, I have made it available to our company Holiday Giving Program, which will give the gift or any funds raised by its sale, to a community agency.

It is the responsibility of each employee to help ensure that our supplier relations are consistent with legal requirements and company policy. If you have any questions regarding this policy, please contact Donna Davis, Director of Ethics and Business Conduct, at (410) 765-5546.