I think it's too easy to simplify the issues that are involved around the OP's post.
Yes, we all know the country would be fucked if everyone had this attitude.
Yes, we all know that people born into families with a lack of ambition tend to get trapped into a cycle of poverty / relying on the state.
Yes, we all know that it's better for kids to see mum/dad actively showing the link between "work" = "reward", and so on.
And for mum and dad to have self esteem, non-dependance on the state etc from working.
But the fact is that the OP raises some very important questions that we should be asking about the welfare state.
The simple fact is that I would definitely continue to work even if we broke even (say I got £100 from benefits each week vs. earning the same £100 by working - I would always personally choose to work).
But I can 100% understand why other people would choose not to.
I miss my kids when I'm at work; so does DH.
I might feel differently in my "work if I break even" attitude if I was out the hour 40hrs a week, commuting 1.5hrs a day like I do now, putting them in childcare, never being there for their medical appointments or school plays, having to juggle childcare arrangements on bank holidays, and so on.
There is no doubt that there comes good things from working. but there's also the bad things (missing out, stress, feeling the grind if it's a lowly respected, repetative job) - as I sit here in a professional working environment where I don't need to deal with a dead end job or manual labour, it's too easy for me to say there is always a benefit to working - it shows a total lack of understanding for the years of lowly paid, lowly respected crushingly boring jobs a lot of people are stuck with. I did enough of them as a student!
I once had a job in a radio factory where it was my job to twizzle the top buttons (only the top ones, mind - there was another girl doing the cassette buttons furhter down the line) and stick them back on if they broke. Alongside miserable colleagues and a shocking lack of employee facilities (i used to sit outside to eat lunch because it was cleaner to sit on the grass than use the "canteen").
After 3 months of doing that before uni I was ready to burst with boredom and wanting to break free. and I always had an escape plan!!!
The idea of doing that for 40 years, whilst missing my children's upbrining too... well there's no amount of "but it earns you self respect"/etc can make me blind to the little nuggets of truth in the OP.
I don't agree with it all, but I think it has more merit than some of the posters on here are comfortable to admit.