This would be fabulous if people had some sort of income to fund their living costs. In the past the Universal Basic Income has been touted. If there were a UBI it would have to be above the poverty line. Right now JobSeeker payments are well below the poverty line. Would any of our govts provide a decent UBI? I'm doubtful.
Even people with jobs are struggling for all the reasons we know. So, what makes you think that if there were a lot more unemployed people they could manage to live a life of leisure in the likely situation that they would not have the income to get out of poverty?
I agree that you don't have to be productive (in the industrial sense) to lead a satisfying life. You do need to have in place a system that looks after the basic needs of all people, otherwise you would create an even more unequal society and a lot more suffering and social unrest.