The South Korean government is reportedly considering establishing a foundation for victims of forced labor during the Japanese colonization of the Korean Peninsula, to find a breakthrough in the strained relations between Seoul and Tokyo. 

According to the Japanese newspaper Yomiuri Shimbun on Thursday, the South Korean government is looking into compensating forced labor victims and their families who have yet to bring lawsuits against Japanese companies by establishing a foundation. 

The Yomiuri reported the foundation's establishment would be on the condition that the Japanese companies that have already been ordered to pay by South Korean courts compensate the victims.  

Last year, Korea’s Supreme Court ordered two Japanese companies -- Nippon Steel & Sumitomo Metal, now called Nippon Steel Corporation, and Mitsubishi Heavy Industries -- to compensate Korean victims of forced labor. 

The paper said the plan is based on Seoul's determination to prevent further damage claims against Japanese companies. 

Tensions have been rising between the two countries following last year's court rulings as Tokyo claims that all reparation issues during its colonial rule were settled in 1965 when the two countries normalized relations. 

Seoul, meanwhile, has been avoiding meddling in civil litigation between private citizens and Japanese firms as it goes against the principle of separating legal, administrative and judicial powers. 

While the foundation could be a compromise, Yomiuri reported that it remains to be seen whether Tokyo would accept the plan.