I think that's a really interesting question Lyra.
We don't hear much about the 'proletarian' elves except Thranduil's butler (which was a highly prestigious occupation in medieval times).
I'd have to giess that the elves did have a class system, with those of more noble birth having higher status than the rest. Exactly how this could have worked in practical terms is something of a mystery. Did Elrond have elf peasants working his fields to make his bread? My idea is that the majority of ordinary elves shared the everyday tasks, then created exquisite artworks in their spare time. Even the most mundane tasks would have been performed in a stylish manner eg. ropemaking, perhaps mowing of fields into complex crop circle designs? After all they did have thousands of years to perfect these tasks.
The other possibility is that they used 'low-grade magic' to help out around the home. Thranduil's people were not the most powerful elves but were noted for their willingness to use magic for more trivial things.
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Rumil of Coedhirion
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