Sir Peter Jackson says the union calling for an actors' boycott of his production of The Hobbit needs to "stop playing games" and sit down and talk.

Australian trade union, the Media, Entertainment and Arts Alliance, has called on actors to boycott the production, citing issues with standard union contracts for the two-part film.

The union is demanding that producers on the film enter into collective bargaining with Actors Equity NZ, the New Zealand arm of the MEAA.

But Jackson said the union has refused to meet with him or the body representing producers, the Screen Production and Development Association (SPADA).

"That meeting needs to happen, it is the only logical way to solve this dispute."

Jackson dismissed claims that pay and conditions on the film were below standard.

"For years our company WingNut Films has hired actors on terms and conditions that are among the best and most generous in New Zealand.

"I am a firm supporter of unions but when a tiny minority is empowered to endanger the livelihoods of so many people, something is very wrong."

He said the fees New Zealand actors have earned on WingNut Films productions have been "consistently fair and generous".

"Wingnut Films pays New Zealand actors approx $1,200 per week more than his (or her) US counterpart."

A meeting of The Hobbit actors in Wellington last night failed to get a consensus, with some reluctant to support the boycott.

About 60 actors attended the meeting, but the union would not specify how many voted against the resolutions.

Jackson said any boycott would endanger thousands of New Zealand jobs and hundreds of millions of dollars of foreign income "for no good reason".