Police and protesters clash as strike brings Greece to a halt

The view of the ancient Acropolis was obscured by smoke from burning piles of rubbish and a bank building was evacuated after being set on fire by petrol bombs as a strike called by Greece’s two main unions degenerated into violence.

Much of the country was shut down by the 48-hour general strike, the largest since the outbreak of the crisis two year ago. Government departments, offices and shops were closed and at least 100,000 people took to the streets of Athens.

“It’s one of the biggest demonstrations in recent years. People showed they were determined to protest against these policies,” said Mary Bossis, professor of international security at the University of Piraeus.

“We are not done with these protests. We’ve reached a point where people don’t feel the government represents them any more, they want a complete change,” she said.

Prime minister George Papandreou, trailing badly in opinion polls, has appealed for support from Greeks before parliament votes on the latest measures, which include fresh tax rises, further pension and salary cuts, the suspension on reduced pay of 30,000 public servants and the suspension of collective labour contracts.

But the mood among demonstrators was of anger, of people fed up after repeated doses of austerity and who are increasingly hostile to both their own political leaders and international lenders demanding ever tougher measures to cut Greece’s towering public debt.

Public sector worker Akis Papadopoulos, 50, said: “Who are they trying to fool? They won’t save us. With these measures the poor become poorer and the rich richer. Well I say, ‘No, thank you. I don’t want your rescue.’”

The boom of tear gas canisters fired by police rang out, and black clouds of smoke from petrol bombs hung over Syntagma Square, scene of violent clashes between police and anti-austerity demonstrators in June.

The latest outbreak of violence overshadowed the start of the 48-hour strike. A huge crowd gathered in front of parliament, but after hours of confrontation with a hardcore group of mainly younger demonstrators, police cleared the square.

Police said clashes also marred demonstrations on the island of Crete, where more than 20,000 gathered to protest against the bill, and in the cities of Thessaloniki, Volos, Lamia and Patras.

Yesterday’s action came as European Union leaders were scrambling to settle a new rescue package in time for a summit on Sunday that hopes to agree measures to protect the region’s financial system from a potential Greek debt default.

Finance minister Evangelos Venizelos told parliament: “We are in an agonising but necessary struggle to avoid the final and harshest point of the crisis. From now until Sunday we are fighting the battle of all battles.”

Trapped in the third year of a deep recession and strangled by a public debt amounting to 162 per cent of gross domestic product, which few now believe can be paid back, Greece has sunk ever deeper into crisis.

Mr Papandreou’s narrow four-seat majority is expected to be enough to ensure the austerity bill goes through, especially given possible support from a smaller opposition group.

But his discipline in his ruling socialist party PASOK is increasingly strained, with one deputy resigning his seat in protest and at least two others threatening to vote against part of the package dealing with collective wage bargaining agreements.

“Society has reached the limits of what it can bear,” said PASOK deputy Elpida Tsouri.