Welfare Fraud vs Honesty

Previously I did not support the idea of welfare fraud, but now I can see the other side of it.
My daughter was on JS allowance after doing one of those government backed courses, she has at long last obtained some part time work, and did the honest thing by telling the Welfare people, the result, they immediately stopped her allowance until her employer signs some forms. She has 2 children, and was claiming for her husband that is also unemployed. She now is in a distressed state because she cannot pay her rent that she had budgeted for, all the Welfare could say is they will push it through as quickly as possible.
What incentive is this to be honest.

She needs to go to her Community Welfare Officer for supplementary welfare allowance immediately. She should get that until the change to her JSA can be processed.

If she is not getting rent supplement she should apply for that as well.

Thanks. She will do that, she was getting supplementary rent allowance €6 per week (not a typo error)