South Korea, Japan near landmark deal on wartime labor dispute - media

The South Korean government plans to announce on Monday morning its solution to the historical and legal dispute over compensating people forced to work under Japan's 1910-1945 occupation of Korea, Japan's Kyodo news reported, citing unnamed diplomatic sources.

The labor dispute and one over women forced into Japanese military brothels have bedeviled ties between the two pivotal US allies for years.

South Korea's foreign ministry, asked about the reported agreement, said negotiations were ongoing.

"The government is continuing to consult in various ways between diplomatic authorities at all levels in order to come up with a reasonable solution that meets the common interests of Korea and Japan as soon as possible," it said in a statement.

Japan's Cabinet Office and Foreign Ministry did not immediately respond to phone and email requests for comment.

Relations plunged to their lowest point in decades after South Korea's Supreme Court in 2018 ordered Japanese firms to pay reparations to former forced laborer’s. Fifteen South Koreans have won such cases, but none has been compensated.

The row spilled over into a trade dispute. Japan has maintained the compensation issue was settled under earlier treaties.