Mr. Young pointed out a very interesting somewhat contradictory effect that occurs for DC plans during an economic downturn. Just when companies are struggling and may look for ways to encourage older workers to retire in an effort to cut expenses, these same employees who might otherwise choose to leave are forced to delay retirement because of the dramatic decrease in their 401(k) balance. Although we have seen this effect in periods of past economic decline, it has never been this dramatic and it will be interesting to see how this plays out in the workforce over the next few years.

As a slight correction to what was printed in your overview above, it is The Principal (not Principle) Financial Group. While they have an office in Atlanta, their headquarters is in Des Moines, IA.