[WS:] It is a good argument, but it pertains mainly to blue collar occupations. The expanding white and pink collar occupations did not develop labor identity and militancy that goes with it, but rather identified itself with the bourgeoisie or perhaps petite bourgeoisie. The question is why?
I think that structural conditions that you refer to (welfare state, atomization, etc.) can only partially explain this lack of labor identity.
Case in point - some white/pink collar occupations remain unionized (e.g. teachers). I think that a big part of the explanation lies in what Bourdieu calls "cultural capital" - which cuts across class lines and divides working class into class fractions. By cultural capital he means life style considerations, such as forms of entertainment and leisure activities, aesthetic preferences, food choices etc.
If this analysis is correct it implies that the labor movement missed the boat - it got stuck in blue collar identity and its machismo that had little appeal to not only to female workers that entered the labor force en masse, but also to many white collar males.
-- Wojtek
"An anarchist is a neoliberal without money."