Questions about NPC gear

I have two quick questions;

1. I realize that gearing out your settlers does not raise the defense rating, but will it make them better in a firefight?

atm I am gearing the farmers in whatever I loot and am saving the best gear for companions and guards.

2. Do all named NPC's revert back to their default weapon when out of ammo in the gun you gave them, or is it just the companions?

Thanks