While I agree the 401k model is a substandard retirement vehicle, the abysmal amount of savings that article talks about suggests pretty much no savings going on . . . period . . . regardless of what kind of instrument is being used to do it. That's a somewhat larger systemic problem that is the result of a combination of problems including wage stagnation.
I think thats a factor, but I think the biggest problem is that a lot of people have a hard time thinking that far ahead and saving that much when there are bills to pay, things to do, life to live, etc. This is compounded by the fact that you really have no idea how much you have to save. Basically you are told to save a lot and go at it. Pretty stupid.
Voluntary retirement is a disaster, you gotta make it mandatory, and a mandatory pension like social security is definitely the best because you can't fuck that up like you can a mandatory retirement account. I am sure some idiot will take my ideal retirement acocunt plan, invest all in bonds or not invest in enough bonds in retirement, be totally fucked, take out too much in the beginning and be stuck eating dog food when he is 100