NAF Information

Mission and Functions

Our mission and functions ensures the DOD NAF civilian workforce is ready and able to effectively support the Warfighter and their family members.


To develop fair, equitable, and streamlined Human Resources (HR) policies covering the Department's NAF workforce, and to ensure that NAF HR rules and programs mandated by law or regulation are applied properly throughout the Department.


  • Develop, coordinate, publish, and maintain DOD NAF HR policy.
  • Provide informed NAF HR advice to OSD leadership.
  • Maintain the DOD NAF Health Benefits Program (HBP) in collaboration with the Military Departments.
  • Provide advisory services to the Military Departments.
  • Develop and coordinate proposed legislation.

NAF Employment

For current listing of job opportunities and benefits information, the website for each NAF employer is listed below:

NAF Demographics

Nonappropriated Fund (NAF) Organization Report by NAF Components:

Army and Air Force Exchange Service (AAFES) 27,074
Army MWR 24,504
Air Force MWR 20,885
Commander, Navy Installations Command (CNIC) 18,133
Navy Exchange Service Command (NEXCOM) 11,036
Marine Corps Community Service (MCCS) 10,928
Defense Logistics Agency (DLA)317
Armed Forces Information Services (AFIS)185
Defense Finance and Accounting Service (DFAS)216
Defense Human Resources Activity (DHRA) 33
Office of the Secretary of Defense (OSD) 12

NAF employees are federal employees paid from nonappropriated funds. NAF employees work in military exchanges and morale, welfare and recreation (MWR) programs.

*NAF Workforce report received from DMDC as of June 2016.

Who Are NAF Employees?

Over 120,000 DoD employees are paid from funds that are not appropriated by Congress. DoD nonappropriated fund (NAF) employees work in military exchanges and morale, welfare, and recreation programs. They are paid from funds generated by those activities. NAF employees work all over the world, supporting our Military Services. You can find NAF employees performing such services as selling shampoo, books, and snacks to deployed soldiers at an exchange in Iraq, running a youth program for military dependents, serving food and beverages at enlisted and officers’ clubs, and providing indoor and outdoor recreational activities for servicemen and women and their families.

NAF employees work in a wide variety of jobs, including sales clerks, child caregivers, club managers, laborers, recreation assistants, accounting technicians, and senior executives. The Army and Air Force Exchange Service is the largest NAF employer. NAF personnel also work in the morale, welfare, and recreation activities in the Department of the Army and the Department of the Air Force. Major NAF employers in the Department of the Navy include the U.S. Marine Corps, the Navy Exchange Service Command, and the Commander, Navy Installations Command.

NAF employees are Federal employees. However, they are not covered by most laws administered by the Office of Personnel Management, unless specifically provided by statute (for example, statutes cover NAF employees in areas such as wage-grade pay and labor relations).

The Secretary of Defense, through the Principal Deputy Under Secretary of Defense (Personnel and Readiness) and the Deputy Under Secretary of Defense (Civilian Personnel Policy), exercises discretionary authority over NAF personnel policies covering white-collar pay, employee benefits, classification, leave, staffing, and workforce relations. The DoD NAF Personnel Policy Division of DCPAS develops and administers NAF personnel policy in collaboration with the Military Departments, and provides NAF employers with expert advisory and consultation services.

DoD human resources specialists frequently have questions about how to advise and process employees moving between DoD NAF and civil service positions.

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