Unions in Greece call a series of strikes after the country's finance minister announced plans to increase the retirement age, raise fuel taxes and cut public sector pay.
Greece's Socialist government revealed its austerity measures in an attempt to cut a deficit that has ballooned to nearly 13 per cent of the country's national income.
That is more than four times what Eurozone rules allow.
Finance Minister George Papaconstantinou said his proposals would save the state 800 million euros this year.
"The time has come for major changes. The country can't afford to wait any longer," Papaconstantinou said.
"Everybody needs to contribute clearly to the big effort to save our economy."
Read Faisal's blog on the situation in Greece
The government has unveiled new bills on public sector wages and taxation.
Higher earners will face the biggest tax burden, and the prime minister and his government will not get a pay rise this year.
The government has also announced a freeze in public sector salaries. The pension age will also rise by 2 years.
There are also higher taxes on fuel, tobacco and alcohol, along with tough new tax evasion measures.
A majority of Greeks support tough measures to reduce the government's deficit, but the powerful ADEDY public sector union will tomorrow stage a 24-hour stoppage in protest at the cuts.
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