I think you raise some excellent points, J.J. The vast majority of people on welfare do not want to be there, and are highly ashamed of it.
It is foolish of them to feel ashamed.
'Fault' can never lie with the powerless, Nym90.
It is convenient for their owners to abandon them as an example to the other workers. On the other hand, giving them a meager pittance is a good way to feed the hubris of working class fools who think they are being harmed by this.
Why not? Poverty and subjugation are a permanent way of life under the capitalist social heirarchy.
What basic 'safety net', Nym 90? It has completely excluded all but women with very small children, and even forces them to 'work' within a very short time (I think just a few years) - which is of course ridiculous as they have children. For example, workers such as you or I, being males of the non-paternal sort, would simply get nothing.