This song is about the second coming of Jesus. "Every eye will behold him" when he comes to take us home. There would be no need for a second coming if our souls were already in heaven. The dead know nothing (Ecclesiastes 9: 5), they are resting until Christ comes not in Heaven, but there are some that will still be alive when Jesus comes. God bless.
1 Thessalonians 4 says "For if we believe that Jesus died and rose again, even so them also which sleep in Jesus will God bring with him. For this we say unto you by the word of the Lord, that we which are alive and remain unto the coming of the Lord shall not prevent them which are asleep. For the Lord himself shall descend from heaven with a shout, with the voice of the archangel, and with the trump of God: and the dead in Christ shall rise first"