Individualization theorists claim that the socio-cultural changes of late modernity have dissolved class division and awareness. In contrast, this review of class research on Icelandic society since the dawn of modernization shows that class relations continue to structure inequality and that neoliberal globalization has increased class awareness. This is shown in relation to class structure, class politics, class inequality, class awareness and class culture. Moreover, it is argued that the strength and trajectory of class awareness in late modernity vary by welfare regime and that theorists overgeneralize declining class awareness based on highly differentiated, liberal welfare states. Heightened class awareness in Iceland is explained by the polarizing effects of neoliberal globalization, which represents a more significant shift for social democratic welfare states, where low inequality, comprehensive social citizenship and cultural homogeneity have long curbed perceptions of class division.
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