A bill to bring certain employees of the Department of Defense within the purview of the competitive civil service.

Directs the Secretary of Defense to provide a special services program for the morale, recreation, welfare, and mental, physical, and cultural improvement of personnel of the Armed Forces and to employ the personnel necessary to carry out the program. Provides that to the maximum extent possible special services employees shall be paid from funds appropriated for the purpose of payment of their rates of basic pay.

Provides that special services employees who have had at least three years on nonappropriated funds and have an eligible rating on appropriate civil service registers and are recommended by authorities of the employing agency, may transfer to a position of the same level of duties and responsibilities in the competitive civil service and be placed in the appropriate grade of the General Schedule at basic pay rates.

Directs the United States Civil Service Commission to issue regulations to carry out the purposes of this Act in behalf of special services personnel of the Armed Forces.