To be fair, that is not really SpaceX's fault. It is due to the U.S. laws that make an overly broad definition of what is a weapon, and an overly optimistic belief that the technology can be hidden from dedicated spies.
Strictly speaking, they could hire non-U.S. persons, but that requires a specific individual exemption from the state department. I don't know how hard it is, but I suspect it is only something they would try to do if they really wanted you (i.e. they recruit you, not you apply to them).
There are certainly places where ITAR could be described as "overly broad" (for instance, the infrared cameras used by firefighters are limited due to ITAR restrictions), but the only difference between an Falcon 9 and an ICBM is the bit on the end...