Accusation of Forced Labor

Deterioration of bilateral relationship began to affect businesses between both nations. Not being able to withstand the threat of losing business opportunity, Nippon Steel and Sumitomo Metal decided to pay compensation to former Korean workers who accused the company of forced labor in wartime to Korean court, if it loses. It is unclear why this old dispute was raised now. To make this issue a prolonged argument between the two countries is not beneficial for both.

The accusation was presented by four old men who had been mobilized from colonized Korea to Japan in order to do unexpectedly hard work in 1940s. They demanded compensation and unpaid salary to the employer, then Nippon Steel. The Appeal Court of Seoul ordered the company to pay 100 million South Korean won last month. Nippon Steel and Sumitomo Metal appealed to the Supreme Court of South Korea.

Before the Supreme Court makes a decision, the company revealed its readiness to pay for it, if it loses in the final court. The company supposed to have considered the possibility of seizure of its property or deteriorating company image in South Korea. It is not a problem only for the company. The Appeal Court in Busan decided later last month that Mitsubishi Heavy Industries Co. had to pay for former Korean workers in a similar case. There are much more companies that may be indicted by former Korean workers.

The government of Japan keeps its standpoint that all claims of Korea had been implemented, along with Japan-Korea Basic Relation Treaty in 1965. But whether the compensation was for relationship between two governments or for private relationship was not clear. Korean accusers appeal that private compensation has not implemented by the treaty. As shown in the issue of “comfort woman,” the government of Japan insist on saying “That’s all done.” This attitude is causing more protests in South Korea these years.

On the other hand, it is questionable that this kind of unilateral solution may work for benefit of Koreans. It is obvious that this issue stimulate current protests against Koreans in Japan, because there is persuasive explanation about why those former workers sued the employer after long silence for certain decades. Former President, Roh Moo-hyun started payment for those forced workers. Japanese companies will not be positive on further investment in South Korea, if this kind of decision is consecutively made.

To avoid the escalation of negative sentiment of both nations, establishing a fund for supporting those former workers may be one of the solutions. It is important to separate this issue from interpretation of history.