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Very good point!
Also, it's sometimes a comparison between "public" vs "private." Like whether you work in the public or private sector. While "private" is good in the bitcoin world, I think it's easy for people to think "public" is a friendlier word than "private." As in, "Oh, you work for the public, you must be humane" vs "Oh, you work for a private company, you must have something to hide or you're greedy."
It seems more fair to call it "governmental" vs "civil." Now it sounds better to say, "I work in the civil sector" vs "I work in the governmental sector."