the dramatic decline of defined-defined pension plans over the past 40 years has been a “loser” for all but the top 10% of income earners.
That would ONLY apply if the trend of 40+ years ago remained. Back then, a large majority of people remained at a company working for long periods of time, 10, 15, 20, 30+ years was very common. So their defined benefit pension would grow with their years of service until it provided a very respectable monthly annuity payment (the “defined benefit”) upon retirement.
But it does NOT apply anymore today when the median time spent at a company is about 4 years. And for younger folks (under 35), the median time spent at a company is less than 3 years. That would mean that the vast majority of people never even vest into their defined benefit pension (usually it takes 5 years service, sometimes more), and when they leave their job after 4.1 years, they would receive a [smallish] check that can be rolled over into an IRA.
So, at least for people with a little saving discipline who contribute to their 401k, they may net net be better off with the current regimen rather than the old defined benefit regimen.