You're going to be paying for these unfortunate folks one way or another, either through welfare increases (read: taxes on the working folks) or through some marginally more expensive commodities.

Don't forget prisons and jails. While they are intended to house criminals, many mentally ill people also go there (because Reagan shut down many of the mental hospitals. Not only that, but there have been incidences where normal people who have no where else to go, or don't have any more options for housing, healthcare, etc., where people commit a petty crime to go to jail on purpose. Healthcare and commodities in these facilities generally ranges from shoddy at best to practically non-existent at worst.

If you think prison population is high now, wait until automation displaces a large percentage of the workforce. If nothing is done, they will literally have no where else to go other than being homeless (where you will have to walk on a right rope "The Walk" style to not get arrested due to overzealous laws that essentially criminalize homelessness.

It's a game of musical chairs. What happens when there are so few chairs, but so many people who are out?

The first people to move are the ones most able.

Absolutely. Unless the employer is paying for relocation costs, good luck moving out of your place in rural, USA when you were making minimum wage.