A Crisis is Looming in Military Moves: TRANSCOM's Proposed Changes to DP3 Amidst GHC Implementation Could Undermine Quality and Capacity
International Association of Movers
The global champion for the moving industry, advancing the professionalism and operational excellence of our members.
Every year, hundreds of thousands of military families pack up their lives and move to new assignments as part of their service. This process, while challenging, is supported by a carefully coordinated system of professional movers working alongside the Department of Defense (DoD) in the current Defense Personal Property Program (DP3). However, sweeping and consequential changes planned by U.S. Transportation Command (TRANSCOM) are introducing unprecedented risk and uncertainty into military relocations. Members of the International Association of Movers (IAM) have always been committed to supporting the DoD’s mission to provide high-quality, reliable moving services to those who serve our nation.??
That is why IAM opposed TRANSCOM’s Global Household Goods Contract (GHC) when first introduced in 2019. IAM argued and still maintains that the one-size-fits-all approach endorsed by TRANSCOM ignores the nuanced realities of military moves, where local expertise and established relationships are critical. Additionally, IAM cautioned that the sheer scale of the transition, combined with tight and ever-changing timelines, creates a high risk of operational failure during the initial phases. Such disruptions risk diminishing moving capacity for the U.S. military and degrading service quality for military families.??
Fast forward to today, and TRANSCOM is just now beginning to move a meaningful number of shipments outside of DP3 and into the new GHC. Our warnings are proving prescient as military families are already reporting significant service and operational failures despite the relatively small number of shipments still moving in the new program. What will happen when TRANSCOM decides to push all the moves into the new system after it has demonstrated it cannot handle this small volume? IAM recently shared our thoughts with the Government Accountability Office (GAO) on the GHC and why it is a losing proposition not just for the industry but for the military families who rely on TRANSCOM to look after their best interests.??
The GHC is not the only disruption TRANSCOM has in store for 2025. Just last month, TRANSCOM notified industry leaders of significant potential changes that will go into effect in May 2025 for the legacy program - DP3. This notice begs the question: Why is TRANSCOM making changes to DP3 when it has communicated to all providers that 100% of domestic shipments would move through the new GHC paradigm by May of 2025???
More importantly, as IAM outlined in a recent letter to TRANSCOM leadership, these changes impose even more operational and financial challenges on the moving companies DoD currently relies on, in support of military relocations. Many small and mid-sized businesses, already struggling to adapt to the demands of GHC, may find the burdens of new compliance requirements for the legacy program and uncertain shipment volumes impossible to sustain.??
This strain risks undermining the entire system by reducing the number of qualified moving service providers, constricting market capacity, and concentrating workloads among fewer companies. Such consolidation erodes competition, weakens resilience, and degrades the quality and timeliness of relocation services for military families. TRANSCOM must ensure stability in the transition to GHC by minimizing reforms to DP3. This will help maintain industry capability, capacity, and know-how in the current program as well as provide some semblance of stability for service members PCSing during program transition.??
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? The concerns surrounding TRANSCOM’s changes extend beyond the moving industry. Military families themselves are feeling the strain. A recent petition launched on Change.org highlights one of the critical shortcomings of the new system: the diminishing financial support for self-moves, also known as Personally Procured Moves (PPM). For decades, PPMs have been an important option for service members who prefer the flexibility and control of managing their own relocations. As TRANSCOM transitions from DP3 to GHC, more families may wish to handle things themselves given the uncertainty inherent in any transition, but reimbursement rates have been reduced according to recent feedback from service members. This leaves families with fewer viable options and more susceptible to “rogue operators” who prey on customers with limited budgets desperate to find a mover.?
The petition, signed by thousands of military families, makes it clear: TRANSCOM’s changes do not meet their needs. Families are frustrated with the diminished flexibility and fear further disruptions as the GHC struggles to scale up. These issues underscore the broader theme of IAM’s position: the current trajectory risks not only the health of the moving industry but also the quality of service provided to the very people TRANSCOM is tasked with serving.?
? Military families, like all customers, deserve a relocation system that is dependable, flexible, and resilient. Service members and their families already endure the challenges of frequent moves as part of their commitment to our nation. Adding systemic instability to this process is unacceptable. For these reasons, IAM maintains that the GHC is not an answer to TRANSCOM’s goals and its implementation must be reconsidered before irreparable damage is done. At a minimum though, TRANSCOM should immediately pause further changes to DP3 until the program is no longer needed. It is time for TRANSCOM to rethink its overall strategy and work collaboratively with all stakeholders to deliver a system that truly meets the needs of military families and the professionals who serve them.?
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Global Mobility & Transportation Risk Executive / Consultant (|) Practice Leader @ UNIRISC a Risk Strategies Company
2 周Excellent synopsis of where it came from and where we currently are.
Household Goods Operations & Driver Recruitment, Retention & Advocacy
1 个月A thorough perspective; thanks for posting.
Diretor | Antares Mudan?as & Transportes | International Removal Company | Mobilidade Global | Especialista no Transporte Internacional de Mudan?as Desacompanhadas do Brasil para o Exterior e do Exterior para o Brasil.
1 个月Thanks for sharing this insight.