If the public teet is still the same as 15 years ago ... then that is one of the problems.
The public teet is set so that if you go off you end up with going cold turkey. This means that it is better to stay on the teet and do nothing to improve your situation rather than trying to get one step ahead in life because once you cross the border of public help cuts off you end up at times in a harder postion than being on the dole.
I don't think the dole is really that bad. People at times do really need an injection of cash.
Public aid should be step based with a gradual reduction. On top of which, education should be part of the requirement to recieve cash. Basically get paid to go to school. Cut class = cut in money.
Next provide people with a way to have an address, telephone service, email, shower, clothes that could be borrowed. Note, I am not necessarily saying a home. Many homeless can't be housed thereby having an address, a shower and clean clothes could help them go to job interviews. Once your on the street you only have weeks before the vicious cycle places you in a position that going for an interview is now blocked because you don't have a contact address ... thereby a bad hire.
Just a few ideas.