Next Month's Resolution Expected for Compensation Solution of Forced Labor Victims

Solution to Forced Labor Victims' Lawsuit May Be Presented to Japan as Early as Next Month
Compensation Plan Likely Through a Specific Fund from Korean and Japanese Companies' Resources

[Asia Economy Reporter Yoo In-ho] The solution for compensation to forced labor victims is expected to be finalized next month.

Our government is expected to present a negotiation plan next month to the Japanese government regarding the procedure for selling domestic assets of Japanese companies to compensate forced labor victims.

According to diplomatic sources on the 11th, the Japanese Yomiuri Shimbun recently reported, citing a senior official of the Korean government, that the Korean government plans to present a solution to the lawsuit of forced labor victims during the Japanese colonial period to the Japanese government as early as next month.

The senior official said, "The Yoon Seok-yeol administration, aiming for an early improvement in Korea-Japan relations, plans to propose a solution around next month after further communication with the Japanese side."

Regarding this, the newspaper introduced that in four rounds of public-private consultative meetings held to seek a solution to the forced labor victims' lawsuit, discussions focused on who would bear the compensation payments to the forced labor victims (plaintiffs) and how the funds would be secured.

In the public-private consultative meetings, opinions converged on the idea that a newly established fund or an existing foundation should be the main body to resolve the issue, and that the funds should be sourced from contributions by companies from both Korea and Japan, according to explanations from Korean government officials conveyed by Yomiuri.

The Korean government also secured expert opinions that legally, the plaintiffs' consent is not required to substitute the money to be paid by Japanese companies with a fund or similar mechanism, the newspaper added.

If the Korean government’s plan to pay compensation using a fund is decided, it is certain that the plaintiffs and opposition parties will strongly oppose it, and the Yoon Seok-yeol administration will face a situation requiring political determination, Yomiuri assessed.

Inside and outside diplomatic circles, there is speculation that the government, which has been seeking a solution for forced labor victims, is considering a plan to compensate through a specific fund financed by companies from both Korea and Japan.

At the fourth and final public-private consultative meeting held on the 5th, participants concretized opinions on the subject responsible for implementing the ruling and the funding, proposing that "compensation using government budget is prohibited" and that it is "desirable" to establish a separate fund through existing foundations of companies from both countries.

As for the implementing body, methods such as the government, newly established foundations or funds, or existing organizations like the Forced Labor Victims Support Foundation were discussed, with many opinions favoring "utilizing existing established organizations."

However, it is uncertain how the victims will respond to the government’s plan. The victims urge the government to actively engage to elicit sincere responses from the Japanese side.

The victims emphasized that regarding the subject or method of apology, "it is not productive to discuss what level is desirable at the public-private level," and stressed that it is the government's responsibility to bring about an apology from Japan.