In fact this problem occur because you have choosen Axis1 instead Axis2 when trying to generate the WebService.
To change from Axis1 to Axis2 you need to click in "Web service runtime: Apache Axis" when on this step of the creation of the web service:
Then, change from Axis to Axis 2:
One last consideration:
You must be sure that in the creation moment of your Web Dynamic Project, you have choosen "Dynamic Web Module Version" to be below 3.0. Version 2.5 will work. After that you need to add "Axis2 Web Services" to the facets of the project. Right click on the project > Properties > Project Facets
check the box publish the web service and in client select the sliding bar create client .
if the problem occurs any then restart your eclipse.
Hope this can help.