Government has been able to control labor to a high degree. In Japan, business, and individual firms control workers. There is an attempt at an ideological overlap between workers and management. Instead of polarizing the two, workers see their interests as bound up in the success of their company. I'm not sure what he means by this.
Classes can change and become co-opted, but no one forgets who they are.
Workers definitely know where they are in the hierarchy. Just because there is a sense of community doesn't mean class has disapperaed- in this context it just may be less important, not the main focus. I also think Kamata would have issues with this statement. Even though Gordon disagrees with previous glib summarizations about industrail relations in Japan, and though he analyzes further, he still makes similar overly simplified statements.