I think some people might be looking at this through pommie b eyes lol. As Diane pointed out this is a different country and people use words differently. For example, I find people use "pom, wog, leb" etc to describe themselves and often poke fun at the perceived characteristics of 'their' group. They tend to be proud of their heritage and group whilst maintaining fierce pride in being Australian.
It all comes down to whether it's just good-natured banter or someone being mean. And if it's the latter then it doesn't really matter what they call you, it's just plain rude!
Don't reckon you want to be too sensitive...anyway, I thought everyone loved the idea that Australia is less PC (not that it really is IMHO!)