DY: I agree, Yom Ha’atzamos is not an inherently offensive term. Context is everything. Those who use the term use it incredibly disparagingly, often to indicate that the founding of the State and the Zionist movement were the cause of the Holocaust. It’s not a nice term, trust me. It’s one that even many Chareidim in Eretz Yisrael get offended when it’s used. If you ask people in Israel (certainly Dati Leumi, but also Chareidim) they will tell you that the phrase means that because they are happy that the State exists, the blood of every Jew who has died since 1890 or so is on their hands. It’s not something you say in polite company. Ever.
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