diff --git a/vhdlpp/library.cc b/vhdlpp/library.cc
index 435f27297..987fb265b 100644
--- a/vhdlpp/library.cc
+++ b/vhdlpp/library.cc
@@ -30,6 +30,12 @@ using namespace std;
 static const char*library_work_path = 0;
 static void store_package_in_work(const Package*pack);
 
+static string make_work_package_path(const char*name)
+{
+      return string(library_work_path).append("/").append(name).append(".pkg");
+}
+
+
 struct library_contents {
       map<perm_string,Package*> packages;
 };
@@ -66,7 +72,7 @@ void dump_libraries(ostream&file)
  * This function saves a package into the named library. Create the
  * library if necessary.
  */
-void library_save_package(const char*libname, Package*pack)
+void library_save_package(const char*libname, Package*pack, bool parse_work)
 {
       if (libname == 0)
 	    libname = "work";
@@ -76,7 +82,9 @@ void library_save_package(const char*libname, Package*pack)
 
       lib.packages[pack->name()] = pack;
 
-      if (use_libname == "work")
+	// If this is a work package, and we are NOT parsing the work
+	// library right now, then store it in the work library.
+      if (use_libname == "work" && !parse_work)
 	    store_package_in_work(pack);
 }
 
@@ -114,6 +122,14 @@ void library_use(const YYLTYPE&loc, ActiveScope*res,
 
       struct library_contents&lib = libraries[use_library];
       Package*pack = lib.packages[use_package];
+	// If the package is not found in the work library already
+	// parsed, then see if it exists unparsed.
+      if (use_library=="work" && pack == 0) {
+	    string path = make_work_package_path(use_package.str());
+	    parse_source_file(path.c_str(), true);
+	    pack = lib.packages[use_package];
+      }
+	// If the package is still not found, then error.
       if (pack == 0) {
 	    errormsg(loc, "No package %s in library %s\n",
 		     use_package.str(), use_library.str());
@@ -229,7 +245,7 @@ void library_set_work_path(const char*path)
 
 static void store_package_in_work(const Package*pack)
 {
-      string path = string(library_work_path).append("/").append(pack->name()).append(".pkg");
+      string path = make_work_package_path(pack->name());
 
       ofstream file (path.c_str(), ios_base::out|ios_base::app);
 
diff --git a/vhdlpp/main.cc b/vhdlpp/main.cc
index da78eaf21..b15de59cf 100644
--- a/vhdlpp/main.cc
+++ b/vhdlpp/main.cc
@@ -127,19 +127,12 @@ int main(int argc, char*argv[])
       for (int idx = optind ; idx < argc ; idx += 1) {
 	    parse_errors = 0;
 	    parse_sorrys = 0;
-	    FILE*fd = fopen(argv[idx], "r");
-	    if (fd == 0) {
-		  perror(argv[idx]);
+	    rc = parse_source_file(argv[idx], false);
+	    if (rc < 0)
 		  return 1;
-	    }
-
-	    yyscan_t scanner = prepare_lexor(fd);
-	    rc = yyparse(scanner, argv[idx]);
-	    fclose(fd);
-	    destroy_lexor(scanner);
 
 	    if (verbose_flag)
-		  fprintf(stderr, "yyparse() returns %d, parse_errors=%d, parse_sorrys=%d\n", rc, parse_errors, parse_sorrys);
+		  fprintf(stderr, "parse_source_file() returns %d, parse_errors=%d, parse_sorrys=%d\n", rc, parse_errors, parse_sorrys);
 
 	    if (parse_errors > 0) {
 		  fprintf(stderr, "Encountered %d errors parsing %s\n", parse_errors, argv[idx]);
diff --git a/vhdlpp/parse.y b/vhdlpp/parse.y
index 4a2039d11..7cc694404 100644
--- a/vhdlpp/parse.y
+++ b/vhdlpp/parse.y
@@ -1,8 +1,9 @@
 
 %pure-parser
-%parse-param {yyscan_t yyscanner}
 %lex-param { yyscan_t yyscanner }
+%parse-param {yyscan_t yyscanner  }
 %parse-param {const char*file_path}
+%parse-param {bool parsing_work   }
 %{
 /*
  * Copyright (c) 2011 Stephen Williams (steve@icarus.com)
@@ -58,7 +59,7 @@ inline void FILE_NAME(LineInfo*tmp, const struct yyltype&where)
   (Current).first_line   = (Rhs)[1].first_line;      \
   (Current).text         = file_path; /*(Rhs)[1].text;*/   } while (0)
 
-static void yyerror(YYLTYPE*yyllocp,yyscan_t yyscanner,const char*file_path, const char*msg);
+static void yyerror(YYLTYPE*yyllocp,yyscan_t yyscanner,const char*file_path,bool, const char*msg);
 
 int parse_errors = 0;
 int parse_sorrys = 0;
@@ -1110,7 +1111,7 @@ package_declaration
         if ($6) delete[]$6;
 	pop_scope();
 	  /* Put this package into the work library. */
-	library_save_package(0, tmp);
+	library_save_package(0, tmp, parsing_work);
       }
   | package_declaration_start K_is error K_end K_package_opt identifier_opt ';'
     { errormsg(@3, "Syntax error in package clause.\n");
@@ -1651,7 +1652,7 @@ K_postponed_opt    : K_postponed    | ;
 K_is_opt           : K_is           | ;
 %%
 
-static void yyerror(YYLTYPE*, yyscan_t, const char*, const char* /*msg*/)
+static void yyerror(YYLTYPE*, yyscan_t, const char*, bool, const char* /*msg*/)
 {
 	//fprintf(stderr, "%s\n", msg);
       parse_errors += 1;
@@ -1678,3 +1679,27 @@ void sorrymsg(const YYLTYPE&loc, const char*fmt, ...)
       va_end(ap);
       parse_sorrys += 1;
 }
+
+
+/*
+ * The reset_lexor function takes the fd and makes it the input file
+ * for the lexor. The path argument is used in lexor/parser error messages.
+ */
+extern yyscan_t prepare_lexor(FILE*fd);
+extern void destroy_lexor(yyscan_t scanner);
+
+int parse_source_file(const char*file_path, bool work_library_flag)
+{
+      FILE*fd = fopen(file_path, "r");
+      if (fd == 0) {
+	    perror(file_path);
+	    return -1;
+      }
+
+      yyscan_t scanner = prepare_lexor(fd);
+      int rc = yyparse(scanner, file_path, work_library_flag);
+      fclose(fd);
+      destroy_lexor(scanner);
+
+      return rc;
+}
diff --git a/vhdlpp/parse_api.h b/vhdlpp/parse_api.h
index ac986c5ee..3ff34773a 100644
--- a/vhdlpp/parse_api.h
+++ b/vhdlpp/parse_api.h
@@ -37,16 +37,10 @@ struct yyltype {
 # define YYLTYPE struct yyltype
 
 /*
- * The reset_lexor function takes the fd and makes it the input file
- * for the lexor. The path argument is used in lexor/parser error messages.
+ * This calls the bison-generated parser with the given file path as
+ * the input stream. If the file cannot be opened, this returns -1.
  */
-extern yyscan_t prepare_lexor(FILE*fd);
-extern void destroy_lexor(yyscan_t scanner);
-
-/*
- * This is the bison-generated parser.
- */
-extern int yyparse(yyscan_t scanner, const char*file_path);
+extern int parse_source_file(const char*file_path, bool parse_work_library);
 
 /*
  * Use this function during parse to generate error messages. The "loc"
diff --git a/vhdlpp/parse_misc.h b/vhdlpp/parse_misc.h
index de220b4e7..720aef3ee 100644
--- a/vhdlpp/parse_misc.h
+++ b/vhdlpp/parse_misc.h
@@ -47,7 +47,7 @@ extern const VType* calculate_subtype_range(const YYLTYPE&loc, const char*base_n
  */
 extern const VType* parse_type_by_name(perm_string name);
 
-extern void library_save_package(const char*libname, Package*pack);
+extern void library_save_package(const char*libname, Package*pack, bool parse_work);
 
 extern void library_import(const YYLTYPE&loc, const std::list<perm_string>*names);