Deliberately inoffensive, as in language or behavior.
Exempli gratia - 'Little person' rather than 'dwarf', even in cases of dwarfism, where the term would be appropriate. Abbreviated as P.C. or B.S. Can be compared to doublespeak.
In an extreme case of stretching absurdly to be Politically Correct, an office once changed their "We're out" message so that the word 'manned' was replaced with the less ambiguous, but nonexistant word 'personned'.