A law that will allow the dismissal of 15,000 civil servants has been passed by the Greek parliament as part of austerity measures imposed by the country's international creditors.
After heated debate during an emergency session, 168 deputies voted for the bill late on Sunday, with 123 voting against and one abstaining.
The opposition proved powerless to stop cuts the government insisted were needed to keep the country afloat.
On Monday the Greek finance minister also said the Eurogroup Working Group will meet to approve a 2.8bn-euro (£2.3bn) aid tranche.
The newly agreed Greek law overturns what had been a guarantee of a job for life for workers in a notoriously bloated civil service.
Around 800 people turned up outside the parliament to protest against the measure in a demonstration called by trade unions.
The bill provides for the dismissal of 15,000 civil servants by the end of 2014, including 4,000 this year, to meet terms set by Athens' creditors for billions in bailout loans.
Civil service trade confederation Adedy condemned what it called the "politicians who are dismantling the public service and destroying the welfare state".
Private union GSEE said the bill would only worsen Greece's dire unemployment rate, which currently stands at 27%.
Slashing an unwieldy public service is a condition set by Greece's so-called "troika" of creditors - the International Monetary Fund, European Union and European Central Bank - to unlock loans of 8.8bn euros (£7.4bn).
The EU and IMF have committed a total of 240bn euros (£200bn) in rescue loans since 2010, with the heavily indebted country obliged to pursue austerity measures in exchange for the international aid it needs to avoid bankruptcy.
The new law will speed dismissal procedures, which previously made it impossible to sack civil servants and saw the public sector swell over the years as every new administration brought in its own people.
Employees who have been disciplined for corruption or incompetence and those working for one of dozens of shuttered government agencies will be the main targets.
The law, which was written in a single article to force politicians to adopt all its provisions together, also extends weekly working hours for teachers, opens a number of professions to competition and reduces a controversial property tax by 15%.
Another section creates new payment terms for unpaid taxes, intended to help the government recover billions of euros owed by indebted companies and households.
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