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After Enron and the scandals earlier this decade, the market instability, it shows the vulnerability and true risk a "Private" retirement would be. The late 80's and even into today companies are "merging" with others and raping the pension programs to pay for the buyout/ mergers and allowing the boards and upper managements golden parachutes, while the workers are left no pensions and only SS for retirement. If SS goes private noone will have anything but the very rich.
I'm sorry but privatization is not the answer, if anything things will only be worse.
I'm still believing the guidelines I laid out above (though probably needing tweeked and worked on) is the best form of retirement. The burden is off the companies to match funds, the government can still use the monies, but there is a definitive goal and a definitive amount set for the worker. From there if the worker chooses to go into an IRA or 401K, they can.
Especially once their T-Bill is paid off and they stop paying the tax. The worker then has many options such as just spending the money or perhaps rolling it into "supplemental retirement T-Bills" or investments or whatever. But they will always have that guaranteed retirement that is untouchable.
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I just love people who use the excuse "I use/do this because I LOVE the feeling/joy/happiness it brings me" and expect you to be ok with that as you watch them destroy their life blindly following. My response is, "I like to put forks in an eletrical socket, just LOVE that feeling, can't ever get enough of it, so will you let me put this copper fork in that electric socket?"
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