Facing the prospect of federal spending cutbacks, Lockheed Martin said it will cut 6,500 employees, starting with a voluntary buyout program. Involuntary layoffs could come later.

The largest government contractor said the reductions target headquarters employees and back-office workers.

Lockheed has shed 3,300 employees in previous rounds of cuts.

The federal market for IT systems and services will continue to grow slightly over the next five years, in spite of looming budget cuts, according to the market research firm Deltek.

In its annual forecast, Deltek says the growth rate for IT spending will slow to 1.7% annually, with federal purchases increasing from $84.1 billion in 2011 to $91.3 billion in 2016. “[R]esearch illustrates that despite growing federal deficits, IT directives promoting cost-savings and efficiency will drive upcoming markets,” the report says.

Two North Carolina congressmen moved to limit Federal Prison Industries’ sales of military uniforms and other equipment.

Reps. Larry Kissell, D-NC, and Walter Jones, R-NC, introduced the DOD Textile and Apparel Procurement and Fairness Act. It would prohibit the Defense Department from buying any textile product for which Federal Prison Industries holds a market share of more than 5%. The congressmen represent a state whose textile industry is struggling.

“While I completely support programs to help keep our prisoners contributing to society and working, we simply cannot do so at the disadvantage of our small businesses,” Kissell said in a statement. The bill, H.R. 2312, would prohibit FPI from bidding on any small business contract for textile or apparel products.

The congressmen said DOD bought nearly $140 million worth of apparel products and other equipment from the prison labor program last year.

The Marine Corps base at Camp Leujeune, NC, will begin using biodiesel fuel that is grown, processed and blended exclusively in North Carolina. The program, called “Fuel the Force,” is a partnership between the military and North Carolina’s agriculture industries. It’s part of the military’s drive to increase its use of domestically-produced renewable fuel.