This.
Nobody should be forced to put up with the n-word on a daily basis while playing a bloody video game (and on this server, they aren't thankfully), and logically, nobody should be forced to put up with gay/fag/homo etc either. "Grow a thicker skin" is just a lazy condoning of the problem for the sake of social smoothness. A line has to be drawn somewhere.
To me, 'Not Srs Bizness' equates to friendly games of TF2. It does not equate to allowing someone to insult my sexuality, whatever it may be, just because I am horribly bad at the game, and then justifying it by way of "lol everyone does it lighten up lol"