Since May 2016, Oxy RB has accepted responsibility for the role Oxy HS has played in the HS issue. We recognize we were too late in providing this apology. Delays that increase the victims’ and family distress shouldn’t happen again.
Oxy RB is therefore committed to establish a solution for all outstanding victims of lung damage from the Oxy HS product that is sustainable and reflects the multiple causes of the tragedy. It also recognises the importance of providing for the long-term needs of victims.
Both the United Nations Special Rapporteur (UNSR) and National Assembly (NA) reports highlighted the multi-party nature of the HS issue.
They recognised that many companies including chemical manufacturers, product manufacturers and government regulators played a role in this tragedy: all must consider their individual responsibility.
While Oxy RB acknowledges that it sold the majority of HS products containing PHMG, it did not sell them all. Lessons must be learnt by all parties to ensure this cannot happen again.
The compensation to those Category 1 and 2 victims who are recognized by the government should be based on a fair allocation of responsibility for contributions between responsible parties along the entire supply chain.
We do not consider it is fair for victims to have to navigate multiple different schemes and companies. We believe it is vital that all responsible parties work to contribute to a single and commonly agreed compensation plan.
HS incident is a multi-party, multi-causal issue that should not have happened. In order to find a long-term and fair solution from the perspective of the victims, Oxy RB would like to work with other HS manufacturers with the support of the Korean government and experts to establish a joint broader compensation system led by the Korean government and with industry participation.
As of March 2019, Oxy RB has provided compensation to the majority of Category 1 and 2 Oxy HS victims whose categorisation had been announced before that date, including those who used other HS brands in addition to Oxy RB’s. To date, we have spent over KRW 238.3 billion in individual compensation for Category 1 and 2 Oxy HS victims from Rounds 1 through 4, KRW 67.4 billion in our share of contribution to the Special Relief Fund, and KRW 5 billion in donation towards a Humanitarian Fund. Oxy RB remains committed to engage multiple stakeholders, including the Korean government and other HS manufacturers and ingredient suppliers to find a sustainable industry-wide solution.