To amend title 10, United States Code, to authorize retired officers of the Armed Forces who are recalled to active duty to be recalled in the highest grade in which the officers served while on active duty.

Entitles a retired military officer who is recalled to active duty in a grade that is higher than his or her retired grade, upon release from such tour of duty, to placement on the retired list in the highest grade in which he or she served on active duty satisfactorily for not less than three years.