Military Families Struggle with Flawed Moving System
Every year, more than 400,000 military families move across the country and around the world. They move wherever the military sends them, whenever they’re told to go. All that moving is sustained by the Department of Defense (DoD) household goods moving process, which allows families to either have movers pack and move them or move themselves – whatever works for the family.
Unfortunately, the recent overhaul of that moving process has led to financial strain and frustration for many military families.
At issue is the $20 billion Global Household Goods Contract (GHC), awarded to HomeSafe Alliance (HSA) in November 2021, which was supposed to fix long-standing issues associated with PCS moves. Instead, three years into the “phased in approach” of the GHC, military families are still facing significant delays, divided accountability, higher out-of-pocket costs, and an inability to rely on the very system meant to support them.
The Promise of the GHC
The GHC was intended to streamline the military’s global PCS process by consolidating oversight under a single contractor, HomeSafe Alliance. Previously, over 900 Transportation Service Providers (TSPs) handled approximately 300,000 moves annually, which led to inconsistencies and lack of accountability. By shifting to HSA, the goal was to create a centralized system with clear accountability for damaged or delayed shipments, while improving communication and service delivery.
The Reality: A System Failing Families
Because HomeSafe does not yet have a network of transportation service providers large enough to execute all PCS moves, the GHC is being implemented slowly. To date, HSA has managed fewer than 1,000 moves. However, even that relatively small number of moves has come with complications. Families whose moves have been managed by HSA report widespread issues, including:
- Significant delays in the pickup and delivery of household goods.
- Inconsistent or nonexistent communication with HSA about shipment status.
- Families being told their belongings are “in transit” when they are still at the original location.
- Lack of moving companies willing to subcontract under HSA due to its low payment rates, which are 30-50% less than legacy rates.
These issues often force families to opt for Personally Procured Moves (PPMs), where they handle the logistics of their move themselves. Yet, under the GHC, PPM reimbursement rates are tied to what HSA pays its subcontractors—rates that are significantly lower than those under the previous system.
Financial Impacts of the GHC
Military families are bearing the brunt of these changes, often incurring thousands of dollars in debt due to the inadequacies of the new system. For example:
- A family moving from California to Arizona under the legacy system was reimbursed $15,000 for an 11,000-pound shipment. Under the GHC, the same move would only receive $7,500.
- A family moving 1,197 miles with 13,000 pounds was offered $9,000, which didn’t even cover the cost of using a commercial moving trailer.
In many cases, families are forced into PPMs (previously known as ‘DITY’ moves) because HSA lacks the network to execute their moves, even if they didn’t choose to manage the move themselves. Worse, the financial reimbursement for these PPMs often doesn’t come close to covering the actual cost of the move, leaving families to absorb the difference.
Military families don’t get to choose these moves. Ask any seasoned military spouse, and you’ll hear stories of relocating during a deployment, moving with a newborn, or navigating a move in the third trimester of pregnancy while caring for other children. PPMs aren’t feasible for every family in every situation. As a community, we depend on the moving system to function so our families can be where the military needs our service member.
A Broken System and Lack of Oversight
The troubles don’t stop there. We’ve heard from families facing additional hurdles, such as being asked to pack their own belongings for what should be a full-service move, dealing with last-minute cancellations, or being left without origin agents to pick up their goods. Attempts to seek real-time recourse are stymied by HSA’s decision to turn off public comment options on social media and direct families to post-move surveys for grievances—long after the damage has been done.
TRANSCOM, which oversees the GHC, has largely remained silent on the financial strain placed on families, citing “proprietary rates” as a reason for the lack of transparency. Yet these same rates are used to determine the reimbursement families receive for PPMs, which are often insufficient to cover the actual costs of relocation.
The Impact on Military Retention
The financial strain caused by the GHC is more than just a burden; it has the potential to impact military readiness and retention. Military families move every 2-3 years, and with PCS moves now forcing them into debt, many service members may be faced with a difficult decision: stay in the military and risk financial hardship or leave service altogether.
What Needs to Change?
For the GHC to succeed without putting more military families into debt and ensuring that they can be wherever the military wants to send them, several changes are needed:
- Protect PPM Reimbursement Rates: Reimbursement should reflect the actual costs of moves, accounting for inflation and remaining on par with legacy rates.
- Reestablish Military Oversight of PPMs: The PPM program should be managed by the military Services, not HSA, to ensure fairness and adequate financial support for families.
- Improve Transparency and Communication: TRANSCOM and HSA must provide clear, accessible channels for families to address issues in real-time.
- Hold HSA Accountable: TRANSCOM must ensure HSA builds a sufficient subcontractor network and meets the contractual obligations to support military families adequately. TRANSCOM should transition military families under the Legacy program (DPS) until HSA can build their network to support the volume of military relocations ahead of the 2025 peak PCS season.
A Call to Action
Recognizing the growing crisis, PCS reform advocate Megan Harless has launched a change.org petition that has garnered over 40,000 signatures in a few weeks’ time. This petition reflects the widespread frustration felt by military families, highlights the urgency of this issue, and calls for immediate reforms to the GHC and PCS processes.
This PCS season is a tipping point. Without immediate intervention, the financial crisis caused by the GHC will worsen, driving military families deeper into debt and potentially leading to a retention crisis. Military families deserve better—better oversight, better financial support, and a moving process that works as intended.
Congress, TRANSCOM, and HSA must act now to address these systemic issues before more families are forced to pay the price for a system that was supposed to support them.
