I am going to disagree with this.
Words (with their shifting connotations and denotations) can be tricky. Especially as you get older. And even moreso when there is the possibility of misspeaking in public.
We see this regularly as usages change and get misunderstood or discarded. For example, whether it is more proper to refer to someone as a Native American or Indian (which is a divisive issue for some within the community). Or in the instant case, the evolution of the term from one word (as in the College Fund) to colored (NAACP) to black to African-American to black to the broader "POC" (which is both overly broad and unwieldy at times). Or the evolution that many of us have seen from the "inclusive" homosexual and then gay (to include various sexualities) to the more delineated LGBTQA+. Or even usages like Hispanic or Latino/Latina which is now sometimes Latinx, and which is also not always correct because of the varying meanings of those terms. Or, to use something we've discussed many times here, the shift in the usage of term Oriental over time.
In short, it can be difficult. It's difficult for even people that try their best to keep up with best practices and usage, and it can be insanely difficult for people that are older- if you don't believe me, just talk to someone over 60 for a while and see how often they refer to their children by the wrong name.
Here, Mercedes Lackey was being honored at the Nebula Awards. She was receiving the lifetime award this year- the Damon Knight Memorial Grand Master Award. During a panel, she was discussing her admiration of another, great writer (Samuel Delaney, a prior winner of the award). Importantly, she spoke of her admiration of Delaney.
Did she misspeak? Did she stumble over her words while reaching for "POC?" Did she simply have a moment and end up regretfully using a word that was common in her youth? The only thing for certain is that there was certainly no ill intent given the context of her statement regarding the great Delaney, and no use of a racial
slur (as opposed to an outdated term that we no longer commonly use).
But what happened? For this, on the year that she was given the highest lifetime award, the same one that put her in the same category as Samuel Delaney, Ursula K. LeGuin, Ray Bradbury, and C. J. Cherryh, she was removed from the Nebula Conference and all her panels.
In my opinion, this was not handled appropriately. Mercedes Lackey used a poor choice of words- something I am sure she would have explained (and, most likely, apologized for). But the action of the organizers of the Nebular Conference was over-the-top and uncalled for. Both because they publicized her removal and tarred her with using a "racial slur" (thus leaving it to many people to assume the worst) and also because they tarnished what should have been the culmination of a lifetime of experience.
Again, this is IMO. This could have been, and should have been, handled differently.