Agreed.
I've always found the term "creative department" offensive. The creative process is the responsibility for a wide range of roles: art, programming, UX, project management (ie. what's practical), for example.
By calling one department "creative" is implicitly calling the others "uncreative", and while it might seem to be arguing semantics, I think it sets ethos, and results in the others feeling disenfranchised, and also resentful of the "airy-fairy crayon boys" that make up crap that's unimplementable.
Similarly, calling the programming/development department "Technical" is an insult to those art guys that know their tools with a deep, technical knowledge and expertise.
Call the departments "Art" (as programming might be a craft, but it's not art); "Programming" (as "development" can be confused with business development); and the combination of the two (plus any other project-focused depts, eg. not Accounting) "Production".
Biting the hand that feeds IT
