It seems people with jobs suffer, while the unemployed are healthy and well-fed. I've started firing workers to rotate the population.
I've advocated a "You don't work - you don't eat" policy.
As community-leader, I would put the idle on half-rations for a month, and then enact more drastic measures. I would also limit their access to health-care and entertainment. And no-one gets allocated housing until they are productive.