GHC at Critical Mass?

As TRANSCOM continues to try to make the GHC happen, military families and professional movers are being more vocal than ever about their concerns – with news media and social media taking notice. 

Yesterday, Military.com published a compelling article about the GHC’s real-life challenges, including accounts from four unsatisfied military families. 

Last night, the WRAL TV station in Raleigh, NC aired interviews with Piedmont Moving & Storage and Pam Stanley, the Executive Director of the North Carolina Movers Association. Pay close attention to TRANSCOM’s quote, which tries to shift blame to military movers. (Click the image to watch)

Last week, Stars and Stripes published an article about military families already experiencing real consequences of the GHC rollout, including lower reimbursement rates when they handle their own moves. In the article, TRANSCOM claims these lower rates are independent of the GHC, but the GHC’s own Performance Work Statement says otherwise: “reimbursements should be based on what it would cost the GHC contractor to service the same relocation.” So, which is it? And with this many tangible issues popping up in the slow season, what can we expect when Peak Season hits? 

Social media has been bubbling over with dissatisfaction. Good thing we were able to share last week’s screenshots since the GHC Prime Contractor conveniently deactivated reviews on their Facebook page…. But military families continue to share their challenges on the GHC Stories page. Unfortunately, there seems to be a trend:

As a reminder, this is the state of the GHC that military families are dealing with: 

OVER BUDGET: Requested and received an additional $60 million in transition funding, which runs out in February 2025 – this has prompted several lawsuits. 

BEHIND SCHEDULE: Failed to meet the original September 2023 deadline for conducting all domestic moves. 

NO COMPLIANCE GUIDANCE: The GHC applies the Service Contract Act to all military moves for the first time, yet TRANSCOM, DOL, and the Prime Contractor still have not provided any specifics on what compliance with these complex requirements looks like for small businesses and independent contractors. The household goods moving (HHG) industry heavily relies on independent contractors to service shipments, and aspects of the Service Contract Act (SCA) are directly in conflict with the use of these individuals.

CONGRESSIONAL OVERSIGHT: The Government Accountability Office (GAO) has begun meeting with industry professionals – including MFA – to help inform its evaluation as it gathers information on the viability of the GHC. 

PENDING LITIGATION: Several of the nation’s largest military moving companies have filed lawsuits against TRANSCOM’s rollout of the GHC. Lawsuit Overview

LACK OF QUALITY CAPACITY: To date, the GHC Prime Contractor has not been able to sign up the nation’s largest van lines, which handle the overwhelming majority of shipments in the current program due to ongoing uncertainties. 

WHAT WE’RE HEARING…

• Transportation Offices in Washington, Texas, Louisiana, and North Carolina are pulling shipments out of GHC and putting them back through DPS to get moved because they are not able to be serviced through GHC. 
• Fort Hood has started pulling shipments from GHC and moving them through DP3 because HomeSafe does not have the adequate capacity or IT readiness.
• HomeSafe told a customer it has only one agent to cover all shipments in Kansas.
• Orders are being amended to delay PCS relocations for 6 to 9 months in order to allow time for TRANSCOM to figure out how service members will move.
• Casual labor pools are being used to load freight trailers that are not equipped with moving equipment. 
• Crews that have used the HomeSafe app say it is cumbersome and nearly impossible to use. The app does not integrate with main move management software, requiring dual data entry. 
• A moving company received a list of giveaway shipments from HomeSafe that encompassed 1,173 shipments; for 68 of the shipments on the list, the pack and load date had already passed.
• The U.S. Army pulled upcoming West Point moves from GHC, and KKFA pulled Air Force cadet moves.
• Shipments are being held in storage at U-Haul and other non-approved facilities

Has the GHC hit critical mass? 

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If the GHC rollout is causing problems for you or your business and you’d like help reaching out to your U.S. Representative or Senator, or if you would like to share your experiences with the media, please email MFA Executive Director Katie McMichael at [email protected]. 

Military families who have interacted with the GHC or have had issues with PPM reimbursements can share their stories, even anonymously, HERE. 

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PETITION: Military Families Shortchanged on Self-Move Rates

Military families are receiving over 40% less reimbursement for Personally Procured Moves (PPM) under the new Global Household Goods Contract (GHC). A petition rightfully asks how military families can afford PPMs with such drastically reduced rates.

Army veteran and military spouse Megan Harless’ petition highlights how lower GHC rates for moving companies have resulted in reduced compensation for servicemembers relocating to new assignments. Members shouldn’t have to pay money out of their own pocket to get the move that is best for them. As predicted, the GHC is proving to be a disservice to military families.

Anyone who supports fair reimbursement for our service members and families for their relocation can sign the petition, even anonymously. 

LEARN MORE OR SIGN THE PETITION HERE.