The threat of a walkout hangs over Tinseltown as the SAG union appears poised to reject a three-year contract proposed by the Alliance of Motion Picture and Television Producers (AMPTP).

The wrangle now centers around actors' concerns over royalty payments for appearances on the Internet.

But De Niro warns that the moment for strike action is not right, as the general world climate is suffering.

Speaking at the Karlovy Vary Film Festival in the Czech Republic on Friday, the Raging Bull actor said, ""I do not think it is a good time to be striking.

""All the trade unions are affected by the strike. With the economy as it is at this time, it does not seem to be a great idea.""

The Screen Actors Guild is expected to respond to a new offer on Monday, following reported negotiations between both sides on Wednesday.

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