diff --git a/.release-please-manifest.json b/.release-please-manifest.json
index c8d1a2bf8f..10e574400b 100644
--- a/.release-please-manifest.json
+++ b/.release-please-manifest.json
@@ -2,5 +2,5 @@
   "pull-request-title-pattern": "chore: release v${version}",
   "changelog-sections": "[{\"type\":\"feat\",\"section\":\"Features\",\"hidden\":false},{\"type\":\"fix\",\"section\":\"Bug Fixes\",\"hidden\":false},{\"type\":\"deps\",\"section\":\"Dependency Updates\",\"hidden\":false}]",
   "changelog-type": "github",
-  ".": "16.0.0"
+  ".": "16.3.0"
 }
\ No newline at end of file
diff --git a/CHANGELOG.md b/CHANGELOG.md
index 31eef2d83e..cfb22b3210 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -6,6 +6,10 @@ All notable changes to [bpmn-js](https://github.com/bpmn-io/bpmn-js) are documen
 
 ___Note:__ Yet to be released changes appear here._
 
+## 16.3.0
+
+* `FEAT`: improve handling of compensation association ([#2038](https://github.com/bpmn-io/bpmn-js/issues/2038))
+
 ## 16.2.0
 
 * `DEPS`: update to `bpmn-moddle@8.1.0`
diff --git a/package-lock.json b/package-lock.json
index 686190aba4..a08d861046 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -1,12 +1,12 @@
 {
   "name": "bpmn-js",
-  "version": "16.2.0",
+  "version": "16.3.0",
   "lockfileVersion": 2,
   "requires": true,
   "packages": {
     "": {
       "name": "bpmn-js",
-      "version": "16.2.0",
+      "version": "16.3.0",
       "license": "SEE LICENSE IN LICENSE",
       "dependencies": {
         "bpmn-moddle": "^8.1.0",
diff --git a/package.json b/package.json
index ba062201fd..bcd56c8745 100644
--- a/package.json
+++ b/package.json
@@ -1,6 +1,6 @@
 {
   "name": "bpmn-js",
-  "version": "16.2.0",
+  "version": "16.3.0",
   "description": "A bpmn 2.0 toolkit and web modeler",
   "main": "index.js",
   "files": [