FRANKFURT (Reuters) – Volkswagen’s supervisory board on Monday said Chief Executive Herbert Diess had its full support as he leads a new executive team to transform the German automaker but stopped short of bringing forward a contract extension.

In a power struggle leading up to a Monday board meeting, Diess had demanded an early contract extension and more backing for his reform efforts from the carmaker’s non-executive board, but he had met resistance from powerful directors who represent employees and unions.

After the meeting, the non-executive supervisory board also said in a statement the carmaker would cut overhead costs by 5% and procurement costs by 7% over the next two years.

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