The construction of incentive mechanism for university teachers is the core problem facing by the survival and development of universities, and it is an important way to stimulate the internal motivation of teachers and promote the orderly internal governance of universities. Based on the perspective of Equity Theory, this paper examines the incentive mechanism of university teachers. According to the reality of some universities, the incentive mechanism of university teachers is facing many contradictions and challenges in terms of performance, level, age and discipline. Universities should build a special teacher incentive mechanism combining“systematization, fairness, equity and openness”. Specifically, universities should build a systematic incentive mechanism with the incentive of“ being largely identical with only minor differences” as the core, establish a fair incentive mechanism with “Four Haves” standard as the guidance, improve the fair incentive mechanism with comprehensive system incentive as the framework, improve the open incentive mechanism that encourages the entire process of transparent operation to effectively promote the fair operation of the incentive mechanism for university teachers.