A bill to prohibit discrimination against locally recruited personnel in the granting of overseas differentials and allowances, equalize the compensation of overseas teachers, and for other purposes.

States that a Federal employee recruited outside the United States for employment at the place of recruitment: (1) may be furnished living quarters, including heat, fuel, and light; (2) is entitled to specified allowances and differentials; and (3) is entitled to an authorized allowance not later than the one hundred and fifieth workday of satisfactory service.

Provides, under the Defense Department Overseas Teachers Pay and Personnel Practices Act, that the fixing of basic compensation for teachers and teaching positions shall be at rates equal to the average of the range of current rates of basic compensation for similar positions of a comparable level of duties and responsibilities in urban school jurisdictions in the United States with a total student enrollment in the school system of twenty-five thousand or more.

Directs the Secretary of each military department to fix the basic compensation for teachers and teaching positions in his military department at specified rates.