Qatar’s Ministry of Labour and Social Affairs has blacklisted 807 companies for violating labour laws in the first half of this year, it was reported.

The blacklisted companies are barred from recruiting new workers, The Peninsula Qatar reported. So far, the ministry has banned 3,913 companies, around 5% of the total number of firms operating in the country.

The banned companies will not be able to bid for government tenders or apply for warehouses, Mohamed Al Meer, director of the Work Relation Department at the ministry was reported as saying.

The ban is aimed at protecting the rights of workers, Al Meer said, noting that blacklisting the companies does not impact the future prospects of the employees.

Ongoing labour reforms on salary payment and staff accommodation are having a positive impact on the conditions of workers, he added. The ministry has found that most companies are adapting to the reforms in place and have opened bank accounts for payment of salaries to their workers. This is in line with the Wage Protection System, expected to be launched on August 18, which mandates that companies transfer worker wages to their bank accounts.

Qatar has about 45,000 registered companies, and bans can be imposed for reasons other than violating labour laws, such as operating without opening an office. Bans are lifted if the firms rectify their mistakes, it was reported.