I think you mean
'hypo'thetical!
Hyper-: Prefix meaning "high, beyond, excessive, above normal"
But then again perhaps it was a Freudian slip, I mean you are looking at paying pilot's more!
By they way, I see no problem with incentive based schemes so long as they are focussed in the right direction. Here are some ideas.
-perhaps you could measure 'on time performance', although this would be difficult.
-you could offer a reward for the best 'safety based' improvement suggested each month, could be cash, or something more tangible.
-you could ensure your pilots get enough time off and don't have to worry about their job being gone when they get back! (lifestyle and the ability to study, etc.. means a lot to most pilots and will cost you nothing!).
-ensure a fatigue free roster, in fact even having a roster in the first place, again this costs nothing.
-make all pilots full time employees at slightly over award rates, I am surprised more companies don't do this, if you want loyal, long term employees this is the way to go! It won't cost you much in the long run in fact it will add to your bottom line in reduced training costs!
I'll post more if I think of them!