"The party and government will make continued efforts to push for the reform of chaebol, foster a fair economic ecosystem and promote a corporate culture in which (business leaders) practice noblesse oblige," Kim said during the party's key policy meeting. Chaebol are family run conglomerates.

Kim criticized the distorted ownership structure of major conglomerates, where managerial powers are concentrated in their owner families, as an underlying cause of many of their problems.

"Under the management led by emperor-like owners, their family members rise up the corporate ladder too quickly without proper verification of their capabilities and then come to the forefront of management," he said.

"And the big companies that take up a great portion of our economy have been defenselessly exposed to the risks stemming from their owners," he added.

Since the Moon Jae-in administration took office in May, it has been exploring ways to revamp the governance structure of major conglomerates under its policy platform of creating a fair, inclusive and transparent economy.