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Incepotism 

Combination of 'incest' and 'nepotism.' Separately these words either mean 'having a physical relationship with a family member' or 'giving preference in the work force to family members.' By combining the two we now have what is known as Incepotism- Two persons that are closely related, becoming just a little too close to each other. It could be anything from step-siblings always bumping into each other as one is leaving the bathroom in a towel immediately after showering, or two sister-in-laws frequently grabbing a drink at that lesbian bar just down the street from the softball diamond. Incepotism leads to incest, it's like stage 1 of cancer. . . . it can get worse.
Carlos: Hey Juan, did our wives join that softball team because they're trying to lose weight?
Juan: Yeah I don't know man, it would make sense because they have been spending a lot of time together at hot yoga. Aunt Jackie said something about incepotism, but I don't speak Latin.
Incepotism by Jerr Bear April 12, 2010
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the act of one inept person hiring another due to a personal relationship
CEO Dick Johnson's inepotism caused him to hire his cousin.
Inepotism by TaintTantrum September 14, 2010
Related Words

Innepotism 

The inept actions of those in power who were put there by relatives and friends.
The innepotism of my bosses son was clear when he destroyed 3 projects, lost the company tens of thousands of dollars and then got a promotion, to be my boss…