They seem to have expected some things, though, see adding pets with aquatic damage (gun and ooze) aswell as a resistant cockroach to stop us from cheesing everything with elementals. Yet, a fact their damage output is low combined with shields not checking for racial damage means this mechanic prevents a lot as you mentioned. The last boss has got an ability to remove basic shields so perhaps that was not in oblivion either… unlike the reactive damage. Also, an ability that forces swap altogether with an ability which prevents from being swapped, including critters? I can't say I like it.
Peeling is a very overlooked aspect of group pvp. Some classes are better than others at taking damage. If I play with a Holy Priest partner, and I'm an Enhance Shaman, I'd much rather have the enemy attacking me, than attacking my partner. Obviously you can not taunt in PVP, but what you can do is snare the enemies attacking your priest friend, CC them, damage them.. do whatever you can to buy your priest friend those valuable seconds.
Other methods have been discussed. For example, mods could be crippled. DBM didn't exist back then, and the other boss that did that I don't remember the name of, didn't do as much back then as DBM does now. If our goal is to recreate the experience as it was, then obviously not having DBM would be a reasonable way to accomplish that. DBM simply existing, makes the game today easier than it was. So disallow it. Again, this is completely consistent with the spirit of vanilla. Remember one-button-decursing? That was nerfed. They crippled the capabilities of the modding API to disallow that because it made the game too easy. So what if they cripple it a little bit more to once again make the game less easy?
World of Warcraft Classic lets you play the game as it existed almost 15 years ago, upon the release of the 1.12 "Drums of War" update. Blizzard says it considers that era to be the correct balance of the game resembling its original launch state while also having ironed out some of the rough spots of launch. This version is also including some updates under the hood, like modern server infrastructure and Battle.net social features.