Wednesday 19 October 2011

Greece unrest: Athens clashes amid general strike

Clashes between riot police and protesters broke out in front of the parliament building in Athens
Greek riot police have fired tear gas and fought running battles with protesters, amid a 48-hour general strike that has paralysed the country.
Tens of thousands are out on the streets of Athens to protest against the government's austerity measures.
Some protesters have been hurling smoke bombs and stones at the police.
The strike, which has grounded flights and halted most public services, comes as parliament prepares to vote on the latest round of austerity measures.
Greece is struggling to reduce a huge government deficit amid fears it may default and set off a eurozone crisis.
The EU and IMF have demanded tough cuts in return for two bailouts.
The government has so far raised the retirement age and cut civil servants' salaries.
Plans for temporary lay-offs of many public sector workers are likely to be approved in Thursday's vote.
The pace of protests in Greece has been increasing for several weeks, with lightning strikes across virtually every sector of the economy.
'Sending a message' The strike for Wednesday and Thursday was called by the two big unions that cover public and private sector workers.
Government departments, businesses, offices and shops have all shut, with small business owners and shopkeepers taking part in strike action for the first time.
Air traffic controllers are staging a 12-hour walkout, with some 150 domestic and international flights cancelled. Trains, buses, taxis and lorries are not operating.
A strike over recent days by rubbish collectors has left uncollected waste piling in the streets. Tourists were turned away from the Acropolis.
"We are going to send a loud message to the government and the political system," said Costas Tsikrikas, the head of the public workers' union Adedy.
More than 70,000 people marched in Syntagma Square in central Athens, police said, with another 15,000 reportedly turning out in the second city of Thessaloniki.
"Take the memorandum and get out," read one sign in Athens, referring to the EU and IMF bailout.
Hundreds of dock workers have gathered at the main port of Piraeus, while hundreds of prison guards protested outside the justice ministry.
One striker, university lecturer Yannis Zabetakis, told the BBC: "We are now living in a taxation Armageddon and the economy is dying. Along with the economy, we are dying. The austerity measures are not working and our best people are being forced to go abroad."
Some 3,000 police officers have been deployed around the capital, with extra riot police outside the parliament building.
Scores of youths attacked a steel barricade there, prompting police to fire tear gas.
Security forces and protesters are continuing to clash outside the parliament building, with TV footage showing young people throwing smoke bombs and bricks at riot police.
Police said four youths carrying firebombs had been arrested.
The BBC's Chris Morris in Athens says the mood across the country is generally one of defiance rather than violence.
Legislators are voting on two bills on Wednesday and Thursday.
They include measures for higher taxes, further cuts to pensions and salaries and the suspension of collective labour agreements.
They will also suspend 30,000 public servants on reduced pay and introduce a new civil service salary system.
Prime Minister George Papandreou's Pasok party has a four-seat majority but some of his backbenchers have threatened to vote against the measures.
Finance Minister Evangelos Venizelos, who has this month been locked out of his office by protesting civil servants for several days, appealed for support, saying: "We are in an agonising but necessary struggle to avoid the final and harshest point of the crisis."
Greece finds itself with rising unemployment and a stalled economy, with a government debt that is 162% of its gross domestic product.
The EU and the IMF have stepped in with two rescue packages but the second has not been finalised.
Meanwhile, Greece says it needs the next $11bn (£7bn; 8bn euros) instalment from the first package of bailout loans agreed last year or it will run out of money to pay its bills in November.
As part of the second bailout agreed to in July, Greece's creditors agreed to a 21% loss - or "haircut" - on their loans to Athens, but there are suggestions this may not be enough.
With fears the problems besetting Athens might spread to other highly indebted eurozone countries such as Spain and Italy, EU leaders meeting this weekend are scrambling to forge a plan that will protect the region from a Greek default.
Measures could include propping up banks exposed to Greek debt and enlarging the eurozone's rescue fund.



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