The first meeting between President Park Geun-hye and top conglomerate leaders demonstrated their common understanding on the need to quickly revive the nation’s economy.

Chaebol leaders promised to expand their investment and hiring while Park indicated that she could ease her policies on large firms.

Analysts said the president might have felt the need to dispel concerns among chaebol about her “economic democratization” campaign as she needs their support to revitalize the economy and create more jobs in the second half of this year

Large firms have contended that the economic democratization drive is aimed at bashing conglomerates to support small and medium-sized firms.

In particular, conglomerates have been strongly opposed to the political parties’ move to enact the revision of the Commercial Act to weaken the influence of conglomerates’ most powerful shareholders.

In response to Park’s calls for increasing investment and hiring, the business tycoons including Samsung’s Lee Kun-hee and Hyundai Motor’s Chung Mong-koo affirmed they would comply.

The president promised to conduct a “careful review” of the controversial revision of the law in an apparent indication that her government would not attempt to “suffocate” chaebol.

The revision of the law, including a clause limiting the voting power of the largest shareholder to 3 percent when electing an auditor member of the board, is scheduled to be sent to the National Assembly this fall. If the bill is passed, Korean firms will face much tighter corporate governance rules from 2015.

Observers said investment in the corporate sector is expected to pick up in the second half of this year as the chaebol owners said that they intended to increase it.

During the meeting, GS Group chairman Huh Chang-soo, who heads the Federation of Korean Industries, the nation’s main big business lobbying group, said the top 30 companies plan to invest a combined 155 trillion won ($138.8 billion) within this year. The amount is a 4 percent increase from 148.8 trillion won planned at the beginning of the year.

He also added that the top 30 firms would create 140,700 jobs by year-end, a 10 percent rise from 130,000, the originally planned annual target.

Chiefs of big firms, however, also asked for investment deregulation.

“The Korean economy has been squeezed by sagging domestic demand and falling exports in the first half of this year. The business community is welcoming the government’s recent policy shift to economic revitalization and raising hope that the government will ease regulations that hamper corporate investments,” Huh said.

During the luncheon, Doosan Group chairman Park Yong-maan, who was newly appointed as chairman of the Korean Chamber of Commerce and Industry, one of the nation’s largest business associations, allegedly also raised concern over rising uncertainties in doing business, including the regulatory environment.

Participating groups in the luncheon with Park are Samsung, Hyundai, SK, LG, Lotte, Hyundai Heavy Industries, GS, Hanjin, Hanwha and Doosan.

By Seo Jee-yeon (jyseo@heraldcorp.com)