"Defined Contribution Pension Plan
A savings plan in which both employer and employees make pre-defined contributions that are generally based on a percentage of employee salary.
Contributions are tax deductible and accumulate on a tax-deferred basis. Amount accumulated is used to determine annuity amount payable upon retirement.
Features
In most cases, members provide their own investment instructions for the amounts contributed on their behalf.
Funds accumulated cannot be withdrawn before retirement and must be used to purchase an annuity.
These plans are generally better suited to employers who want to help their employees build an income for retirement. "
http://www.desjardins.com/en/entreprises/s...-determinee.jsp
The up front cost of these is minimal as they are tax deductable for the employer.