US defense and aerospace giant Lockheed Martin secured a contract to consolidate data centers for the US Department of Labor.

Lockheed announced its win of the US$59.4m contract Thursday. The Bethesda, Maryland-based company has already done a data center consolidation project for Labor, but there are many more sites left to close.

“Lockheed Martin has a record of implementing data center consolidation for the Department of Labor, and we are excited to extend our services across the agency,” Frank Armijo, VP of the firm’s Energy Solutions business, said.

These efforts are a result of the government-wide data center consolidation initiative spearheaded by former federal CIO Vivek Kundra in 2010. Kundra – who has since moved on to work for Salesforce.com – sought to reduce government spending by shrinking the government’s enormous data center footprint.

The department has closed five data centers since 2010 and has plans to close eight more by November 2013, according to information provided by the government on Data.gov. These are not all of Labor’s data centers, according to a report the Government Accountability Office (GAO) issued in July.

“Labor only partially addresses consolidation scope because it only provides information on about half of its data centers,” the report read. GAO issued the report as an update on progress on the consolidation initiative, concluding that most agencies were behind in their execution of a roadmap the White House laid out in 2010.

“Labor provides a timeline for about half of its data centers,” the report’s authors wrote, referring to data center inventory and closure plans the department had reported.

Lockheed’s contract with Labor is for seven years, during which the company expects to move the department’s data centers and eventually set up a cloud infrastructure. The contractor did not specify how many data centers this work would involve.