'Bitter cup' of austerity forced on Greece for rescue: media

(ATHENS) - A "bitter cup" of additional austerity was forced on Greece in return for a bankruptcy-saving eurozone rescue, Greek media said Thursday, outlining a barrage of cuts demanded by EU-IMF creditors.

A marathon meeting by Greece's coalition leaders failed to approve reductions to pensions but conceded controversial cuts to the minimum wage and civil service layoffs and confirmed a slew of state privatisations over the next six months.

"Bitter cup for a temporary rescue," commented conservative daily Eleftheros Typos, adding that the "savage" measures would further sink Greece's economy which is already trapped in a five-year recession.

Financial daily Naftemboriki spoke of a "violent" adjustment to labour and social conditions in the crisis-hit country, spearheaded by a 32-percent reduction in the salaries of newly-employed workers.

The political talks in Athens followed long negotiations between Greece's coalition leaders seeking a deal on fresh austerity measures needed to trigger the release of a 130-billion-euro ($173 billion) loan package.

Greece requires the EU and IMF loan to meet debt payments due in March.

Government spokesman Pantelis Kapsis said another 600 million euros in savings had to be found, most of it from pensions.

But Athens is hopeful that eurozone finance ministers meeting in Brussels today will take a "positive decision" on the bailout package, Finance Minister Evangelos Venizelos said before heading for the talks.

The Eurogroup meeting, bringing together finance ministers of the 17 nations which use the single European currency, is to open at 1700 GMT.