Employee participation is up to each individual employee. There are definite benefits to both the employer and the employee. The plan is simple to set up and maintain and has modest administration costs. The plan is flexible both in the design and in the choice of investment choices.
Employees discuss their plans and it can boost employee morale and loyalty.
If your employer has a plan available and you are not participating, you might want to reconsider. The contribution that you make reduces your taxable income so that so pay no federal tax, social security tax, Medicare tax, etc. If you leave the company, you are entitled to all of your own deposits plus interest, if applicable. Many employers will match the contributions that you make with additional money. Check with your human resource representative to see what choices are available.