How does increasing freeloaders decrease bureaucrats? The two are mutually independent. Either way I'm on your side.
Please read my comment again. I suggested a method similar to a guaranteed base salary which eliminates freeloaders: Guaranteed work.
Think about it: If you can't find a job, you're down on your luck, the government can guarantee that you will have a job and have a wage during such times as part of some public works administration. The skills of the unemployed will be put to good use AND they will be helped.
Please note the hoover dam was the result of such an endeavor.
Even with the public works projects of the New Deal era, there were still a lot more unskilled workers than there was work to be done. That didn't change until WWII, and we definitely don't need another one of those.
Right; its a new world. Today Hoover Dam would be built by large machinery plus very skilled operators. Not by a mob of folks hauling cement around.
There will be less and less room in this brave new world for unskilled labor. Either accept that a lot of people will never work again, or as you suggest, another WWII.