I think it gets "easier" and harder at the same time. I used to literally get so nervous just going to class when I first started, I would feel sick to my stomache at the thought of having to play in front of others. Now the challenge is not just to play in front of others, but to play better than the previous week. Even though we all know that we 'can play it perfectly at home', nerves take over when it really counts. I must say, though, it's nice that Fretmentor always reassures us that he doesn't care if we make mistakes as long as we keep the rhythm, but somehow we still want to do our best and get upset with ourselves when we don't.
The best thing about the class, I think, is how comfortable we all feel with each other and are very forgiving of mistakes. The cohesiveness of the group and the "comfort" level we feel with each other, makes the experience productive, fun and in spite of all the nerves, we have improved tremendously from those early days.