The decision of the CPSU's Defence council follows an intervention against diversity events and inclusive language that left military and civilian employees feeling targeted on the basis of their gender or sexual orientation.

Official morning teas fell foul of Defence Minister Peter Dutton as a misuse of time, so the union members will hold the gatherings in their work breaks.

CPSU deputy national president Brooke Muscat said diversity was a gift, not a distraction.

"It is not enough for leadership to say they support their staff; they must back them in when ministers try to play politics," Ms Muscat said Thursday.

"Since Minister Dutton forced the department and military to put out this DEFGRAM, the CPSU has received numerous emails and calls from our members expressing hurt and anger at the decision.

"People want to feel safe at work, and when you have a minister targeting one group of people that cannot happen."

Defence chief General Angus Campbell and departmental secretary Greg Moriarty told budget estimates this week that Defence would continue to encourage the values of the organisation and inclusion, which included moments of achievement or recognition of its people.

"I think that we focus on trying to develop all our people, and our teams, and to do it every day," General Campbell said.

The organisation's participation in the Gay and Lesbian Mardi Gras parade would continue, confirmed Mr Moriarty.

Last week, DEFGLIS, a group of LGBTI Defence members, veterans and their families launched an online visibility campaign for inclusion in the armed forces called #StandProud.

DEFGLIS's Stuart Martin said the association was pleased to see the department recognise the importance of events like Mardi Gras in attracting the best talent to Defence.

"We support the inclusion-focussed and values-based message of Defence leadership, and look forward to further strategic guidance on how this will be implemented within the department."

Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content: