Oxy RB provides Oxy HS Category 1 and 2 Victims from Rounds 1 through 4 (those categorised by the Korean government in its four rounds of potential victim assessment as suffering, or having suffered, lung damage which was “almost certainly” (Category 1) or “highly possibly” (Category 2) a result of their use of Oxy RB’s HS product) announced on or before 26 July 2019 with a remedy that reiterates its apology.

The Compensation Plans respect the sensitivities of individual victims and their families, provide fair compensation without delay, impose the minimum burden on claimants and provides access to independent advice and review.

  1. Oxy RB’s Compensation Plans were developed based on consultations with Oxy HS victims in meetings, in groups and on individual occasions at the office of Oxy RB or through home visits. Oxy RB endeavored to listen to the voices and understand the pain and suffering of the victims, as well as to complete the Compensation Plans in a transparent way which reflected the views of the victims and their families.

  2. Compensation for Category 1 and 2 Oxy HS victims categorised in Rounds 1 through 4 (whose categorisation has been announced on or before 26 July 2019) is being provided as follows:
    Oxy RB offers a lump compensatory sum in respect of mental distress (including child potential and family consolation), as well as compensation to reflect past expenses, lost income, certain legal expenses and interest. Additional amounts are available where there is more than one victim in a family.
    Compensation proposals for victims living with the ongoing effects of the Oxy HS product include a proposed provision to cover future HS related medical costs and care needs.
    99.5% of Category 1 and 2 Oxy HS victims from Rounds 1 and 2 have registered to participate in the Compensation Plan, and 100% of those registered have been compensated either by Oxy RB or by other HS manufacturers.
    Subsequently, 96% of Category 1 and 2 Oxy HS victims from Round 3 have registered to participate in the Compensation Plan, and 98.6% of those registered have been compensated either by Oxy RB or by other HS manufacturers.
    Oxy RB is currently processing the claims of those Category 1 and 2 Oxy HS victims from Round 4, announced on or before 26 July 2019. 100% of Round 4, Category 1 and 2 Oxy HS victims (announced on or before 26 July 2019) have registered to participate in the Compensation Plan, and 94.8% of those registered have been compensated either by Oxy RB or by other HS manufacturers.
    Recognising the seriousness of the HS issue, and the fact that the process for resolving was likely to take time, in Spring 2014, Oxy RB established a KRW 5 billion Humanitarian Fund to provide assistance to those who have suffered as a result of the HS issue.
    Additionally, on 8 September 2017, Oxy RB paid KRW 67.4 billion in lump sum as its contribution to the HS Special Relief Fund under the HS Damage Relief Act.
  3. The Oxy RB Compensation Plans for Oxy HS Category 1 and 2 victims from Rounds 1 to 4 whose categorisation was announced on or before 5 April 2019 have now closed for registration (although those whose categorisation was announced on 26 July 2019 can still register).


Detailed Information

Based on the consultations with the victims in meetings, in groups and on individual occasions at the office of Oxy RB or through home visits, where it listened to the voices and sought to understand the pain and suffering of the victims, Oxy RB has put forward Compensation Plans that respect the individual needs of Oxy HS Category 1 and 2 victims from Rounds 1, 2, 3 and 4 categorised for HS-induced lung damage on or before 26 July 2019.

Oxy RB offers to compensate in respect of mental distress (including child potential and family consolation), past expenses, lost income, certain legal expenses and interest. In cases of death or severe injury of children, the lump sum will be KRW 1 billion. Oxy RB will also offer an additional amount where there is more than one victim in a Family.

OXY RB

Announced Compensation Plans established based on the four Core Principles of Respect, Fairness, Transparency, and Speed and reflecting the views of victims and families and formed a Care Manager Team to support victims through the compensation process. The first Compensation Plan was announced on 31 July 2016.

Lotte Mart

Offered an apology and pledged to form an organization responsible for compensation, review claims and criteria, and raise KRW 10 billion for compensation. Announced that it would begin its discussion on compensation with the victims whose damage is confirmed to be caused by LotteHS upon the completion of the prosecutors’ investigation

Homeplus

Vowed to establish an independent organization participated by external experts from all walks of life for objective decision-making and to collaborate with government agencies to provide proper compensation

¹Categorisation of HS damage: HS users are classified into 4 categories based on comprehensive assessment on environmental exposure, tissue pathology, image medical science, and clinical medicine, etc,; Cat 1: Almost certain / Cat 2: High Possibility / Cat 3: Low Possibility / Cat 4 : Almost No Possibility / Unknown : Determination Not Possible e.g. due to insufficient evidence *Direct translation from Korean

²On July 2018, 4,745 Rd. 4 cases and 752 Rd. 3 cases have been reported, of which 157 cases have been classified as Rd.4 Category 1 and 2. On 5 April 2019, 6 (including one reassessment case) have been recognised as HS victims. Additionally, on 26 July 2019, 10 (including two reassessment cases) have been classified as Rd. 4 Category 1 and 2.
Source: MOE

Oxy RB met with as many Victims and their Families as possible during the consultation processes for its Compensation Plans, as well as other stakeholders, such as Government and representatives of certain victim groups. This includes: approximately 80% of the 183 Category 1 and 2 Oxy HS victims or their families from Rounds 1 and 2 (excluding 3 whose categorisation was reassessed in later rounds); approximately 65% of the 52 Category 1 and 2 Oxy HS victims or their families from Round 3 (excluding 4 whose categorisation was reassessed in later rounds); approximately 88% of the 143 Category 1 and 2 Oxy HS victims or their families from Round 4 whose categorisation was announced on or before 12 July 2018; and 7 reassessed Category 1 and 2 Oxy HS victims or their families from Rounds 1 through 3.

For additional Category 1 and 2 Oxy HS victims from Round 4 whose categorisation was announced on 5 April 2019 and 26 July 2019, Oxy RB individually contacted them for their valuable views for consideration prior to extending the compensation plan.

Oxy RB continued its efforts to reach many of the remaining Victims and their Families so they were aware of the Compensation Plans. The Oxy RB Compensation Plans for Category 1 and 2 victims from Rounds 1 to 4 whose categorisation was announced on or before 5 April 2019 have now closed for registration (although those whose categorisation was announced on 26 July 2019 can still register). 4 remaining victims who are eligible for the Oxy RB Compensation Plans have not registered (1 from Rounds 1 and 2, and 3 from Round 3.)

Details of the Compensation Plans and the Application for Compensation forms can be found on the Oxy RB Web site (https://www.rb.com/kr/) and the forms can be submitted via mail (to the postal address provided on https://www.rb.com/kr/) or email (care@oxy.co.kr).

Upon registering, each victim is contacted by the Care Manager team to help with the Compensation Process including necessary documentation and explaining the Compensation Offers according to the situation and needs of each victim.