I don't have the 1988 disc. However, I'd wager that the biggest difference is that the 1995 uses a remastered source, while the 1988 disc is from a print (much like the Pinnochio disc--which was from that same run). Arguably, the 1988 may have more accurate theatrical color timing if this is the case.
Also, the 1995 LD is one of the only releases of Cinderella with the RKO logo.