South Korean business groups donate to compensate wartime forced labor victims

By Berk Kutay Gokmen

ISTANBUL (AA) – Two major South Korean business groups have donated 3 billion won (approximately $2 million) to a government-affiliated foundation tasked with compensating victims of forced labor during Japan’s colonial rule, Japanese news outlet Jiji Press reported on Monday.

The Korea Chamber of Commerce and Industry and the Federation of Korean Industries each contributed 1.5 billion won (about $1 million), sources from the South Korean Foreign Ministry confirmed to the media outlet.

The donations are aimed at addressing a funding shortage at the foundation.

The payments are part of a broader plan announced by the South Korean government in March 2023 to resolve longstanding disputes with Japan over wartime labor.

Under the plan, the Seoul-backed foundation compensates plaintiffs who were previously awarded damages by South Korean courts for being forced to work for Japanese companies during World War II.

In March 2023, the South Korean government proposed using this foundation to compensate victims through voluntary donations from the private sector, shifting from direct payments from Japanese companies.

This approach aimed to resolve disputes and improve relations with Japan, though it has faced criticism for not involving direct contributions from the Japanese firms held responsible.

In 2018, South Korea’s Supreme Court ordered Japanese companies to pay compensation to several wartime labor victims.

Tokyo rejected the ruling, insisting that all claims had been settled under a 1965 treaty that normalized diplomatic relations between the two countries.