Employees prefer defined contribution (DC) plans over defined benefit plans because DC plans tend to vest faster.

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DC plans typically vest within a few years, while defined benefit plans often require employees to work for a certain number of years before becoming fully vested. This faster vesting can make DC plans more attractive to employees who value flexibility and the ability to take their retirement savings with them if they leave their job.

Employees Prefer Defined Contribution (DC) Plans Over Defined Benefit Plans