Im not sure what the rules about uniforms are, and for the record, I dont think cops should wear uniforms when moonlighting either.
Military do retain many privileges in private roles.
For example, having a verified secret security clearance is often a big advantage in a second occupation in private industry.
With respect to police, I assume the "privilege" is being able to act as an off duty cop and make arrests. This is a ability the people have given cops because we want them to do it. It is a good thing if they arrest a dangerous person off duty.
This brings us back to the problem. We shouldn't have laws on the books requiring the employment of off duty cops. If a company really needs someone with police power, they should contract with the police department.
If they dont needed it, they should be free to contract with whom they choose.
A bouncer or traffic director does not need the ability to arrest people.