In some countries it does. Just like how companies get tax credits on their spendings on free food, perks etc this might also be covered. Good point, I will research on it.

All my employers have had great 401k match(upto 6%) and it is a key factor to attract talent. This can be a a great way to not only attract talent but also retain them for the period of their repayment of loan. And then similar programs can be expanded to mortgage, auto, child related loans, etc.

I think 401 k makes sense when you are first out of your debts. Planning for future retirement funds while being in debt currently does not sound very right