The effects of annealing atmosphere and temperature on piezoelectricity (k33) and the mechanical strength of machined PZT was studied. Morphotropic Nb-doped PZT was sintered, machined to a rod and then annealed between 80$0^{circ}C$ and 100$0^{circ}C$ in air, PbZrO3, and CuO atmospheres respectively. In air or PbZrO3 atmosphere, the compressive strength of Nb-doped PZT increased by 12% with little change in k33 irrespective of annealing temperature. In CuO atmosphere, on the other hand, the compressive strength increased by 20% with little change in k33 at 80$0^{circ}C$ but both turned to significant decrease above 90$0^{circ}C$. The examination of the phase distribution and microstructure beneath the surface of CuO-treated PZT revealed that the changes in compressive strength and k33 are closely related to the reaction between PZT and vaporized CuO:liquid PbO precipitated in shallow surface region by the substitution of Cu to Pb sites enhances the decrease in microcracks and the surface roughness at 80$0^{circ}C$ ; rapid evaporation of precipitated PbO expands a porous region of changed composition into the bulk above 90$0^{circ}C$.