Thousands joined strikes in Greece and Portugal yesterday bringing planes, trains and ferries to a halt in a new protest against spending cuts aimed at cutting public debt.

Greece was worse hit, with thousands of tourists stranded by the halt in plane traffic and boats to the country's many resort islands.

In Portugal, rail workers staged a 24-hour strike with shorter stoppages hitting other industries, and protesters braved the crushing summer heat to mark their opposition to the government cuts.

The general strike in Greece was the sixth held this year and came only hours after Parliament increased the retirement age to 65 as part of a pensions reform law aiming to save billions of euros.

More than 80 international and domestic flights were cancelled and 110 delayed when air traffic controllers joined the strike, aviation officials said.

No trains ran, city buses were off the streets and all ships were also blocked in ports. Tourists were warned that ferry departures would be put back to today.

The public administration, hospitals and state companies were all badly hit by the 24-hour strike.

Several thousand people took part in rallies in Athens and other major cities.

Some 12,000 people according to police marched through the capital with banners attacking the International Monetary Fund and the European Union. About 5,000 demonstrated in the northern city of Thessaloniki, police said.

Two separate rallies marched towards the Greek Parliament in Athens. Many carried banners condemning Prime Minister George Papandreou.

Parliament staff joined the strike, but officials said they expected the second day of debate on the new law to go ahead unhindered.

All unions strongly oppose the government measures.

But the government has insisted they are needed to try to cut the national debt approaching €300 billion. Greece's public debt has been estimated at 13.6 per cent of gross domestic product.

The new law passed by the Greek Parliament was just the latest in a series of measures taken to ease the debt crisis, which has rocked international markets.

The government agreed to press through the measures in return for a €110-billion rescue loan from the EU and IMF.

The law was passed by 159 votes to 137 with two independents joining the ruling socialists and all opposition parties voting against.

The retirement age for workers in the private sector has been increased from 60 to 65 and pensions cut by an average of seven per cent. Parliament will vote next week on a Bill that would set the same retirement age for public workers.

In Portugal, the General Confederation of Portuguese Workers (CGTP-IN) called the strikes and demonstrations to protest their government's spending cuts.

"Several thousand workers took to the streets all over the country to show that they are not happy with the path taken by the government," union leader Armenio Carlos told AFP.

Despite the heat several thousand demonstrators had gathered in Lisbon city centre, before marching to protest outside the official residence of Prime Minister José Socrates, Mr Carlos added.

Hundreds of thousands of people turned out for the last action called by the CGTP on May 29, a protest in the capital.

The Portuguese national rail company, CP, said urban transport around the second city of Porto had been worst affected by the strike, but that 90 per cent of trains around the capital Lisbon had been able to run.

Rail unions said their 24-hour strike had been followed by 50 per cent of rail workers.

Portugal's socialist government ordered a first round of spending cuts in February to try to cut the national debt.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.