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I know this will sound silly, but reboot your computer. Its more than likely that Java is installed but the system hasn't updated to know that it is. After a reboot, if its still not working please let me know and I will walk you through another way to sync the files to your pc.
If it works, perfect! If not tell me and we will continue.
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Ok, there seems to be an issue with Kies itself then. You can easily drag and drop multiple files or entire folders to your computer without kies though.
When you plug your phone into your computer without kies on, choose to put your phone in mass storage mode, or disc mode, and on yoru computer when prompted choose "open folder to view files".
You will then get a windows explorer window, and you can simply drag and drop the entire folder or groups of files right onto your pc just like you would with any external drive.
Kies AIR is one of the most buggy software releases with more than half its users unable to use it properly. There isn't a known way to resolve it, and Samsung has promised repeatedly to fix it and hasn't.
However there is another way you can sync all the images in a folder wirelessly without Kies AIR using another app. Its a service that once you sign up for(free) you will never stop using, thats a promise.
Its called Dropbox. I will give you the instructions to set it all up. If you want to share ALL the images in a folder all at once, use the second set of instructions under the dropbox instructions to do so.
This is by far the easiest way to wirelessly sync files to and from your pc!
A little hint. ANY file you have synced with your dropbox account is also available via dropbox.com , so you can access them from any browser on any computer, anywhere.
How to Share FOLDERS of images, without sharing them one by one to dropbox.
Now all those images will upload to your computer.