"Gypsy" is a relatively widely used term which refers to ethnic Romani people but is deemed offensive by some.
Laws said Hawkins had made the sole complaint to the ORC but the Herald could not reach Hawkins for comment.
Laws said ORC's decision was "more PC stupidity".
"There is no offence in the community at all, in fact it's exactly the opposite. If there's any outrage it's at the silliness [of] this form of censorship.
"There are a lot of things you should err on the side of caution about but the English language isn't one of them. The reality is that's what the farming and agricultural community call it. It's been known by that for decades and hasn't caused anybody offence."
Laws admitted he would not use the n-word toward someone.
"If I was to use [it] in a pejorative or offensive context... that's clearly offensive and designed to be."
Laws went on to outline what he believed was the harm caused by suppression of speech, even terms largely deemed offensive, as "the greatest danger" in a generation.
"The attack on freedom of speech and freedom of thought, particularly by what I call illiberal liberals, is the greatest danger since the totalitarianism of the Second World War.
"If you suppress people who are unpopular or offensive thoughts, you drive them underground. You create an outrage within those who are not offended that someone can have those freedoms stripped from them.
"I think we've reached that point now quite frankly. People are scared of saying things and thinking things, and having discourses, and intelligent and informed political debate, because they are fearful of offending people.
"It's much worse than ludicrous. It's dangerous and anti-democratic. It is a denial of western freedom of thought and speech. It is an attack upon the fundamental tenets of our democracy."
