Greece 'Paralysed' As General Strike Bites

The Greek Parliament has approved a drastic austerity package despite a two-day general strike that brought much of the capital Athens to a standstill.

The measure was passed by 154 votes to 144, with some members of the ruling Socialist party defying Prime Minister George Papandreou.

One former minister Louka Katseli was expelled from the Pasok party for refusing to vote in favor of a measure to erode worker protections.

Mr Papandreou was clearly relieved with the final tally, which will release another eight billion euros in emergency loans for the debt-strapped country.

After an initial vote the day before, Thursday's result was a foregone conclusion.

Outside in Syntagma Square, hundreds of heavily armed police were on guard, but only a few protestors remained.

Earlier in the day, it was a different story.

Communist party demonstrators tussled with anarchist rioters shortly after lunch in some of the most violent scenes witnessed since the debt crisis began.

In the dangerous and unpredictable melee, one protestor died after he was hit on the head by a rock.

Another man was seriously injured after falling from a wall. In all 15 people were hurt and 40 treated for respiratory problems.

The austerity vote, which will see thousands of civil servants lose their jobs, will help European leaders trying to contain the debt crisis as they prepare for a summit in Brussels this weekend.

However, France and Germany are struggling to agree a key part of a wider strategy to shore up the single currency.

They are bickering over whether to expand the remit of the EU's emergency fund or 'stability facility'.

It is a gulf which could delay a unified EU response until the middle of next week and that could rattle the markets.