The people probably represent feelings of alienation, anger, grudges, that sort of thing, and you are making peace with them. It's not necessarily important to know precisely what each represents. The theme is the important thing here.

I used to dream of living in a haunted house, and I had that dream recur from a very young age and most of my life. Eventually I worked out that the "ghosts" were lingering issues that I had not "laid to rest". The nature of the dreams changed to where instead of being fully incapable of going into certain parts of the house at all, to where I could pass through the haunted areas (though it was nightmnarish) to where I was able to speak to the ghosts and not be afraid of them to eventually cleaning out the house entirely. Those dreams corresponded with my own healing and growth with regard to issues from my childhood (the house represents "me").