The Obama administration has directed the military to not allow personnel to say “Christmas”, in spite of the holiday’s status as a federally-recognized holiday.
The reason given by armed forces officials is that not everyone celebrates Christmas and that out of respect for them, military members should refer to Christmas celebrations simply as “holiday”-themed festivities.
This prohibition comes in the context of a wider push for political correctness in society in general and the military in particular, as evidenced by the recent reprimanding of Navy Chaplain Wes Modder for simply discussing religion, as chaplains are wont to do, with military personnel.
See how servicemen have reacted to not being allowed to say Christmas at the link below:

False story…never happened
Says this FOX”News” Republican website. Seek the truth elsewhere.
You’ve got to be kidding me. He is such a baby. Nice to know that our President has nothing else to do. Ninny
Merry Christmas America.
If this is true, then MERRY CHRISTMAS!! to all of our Military men and women wherever they may be stationed.
Merry Christmas Mr President!!!!!
How about F you
I thought that part of what the military was here to protect was our FREEDOM OF SPEECH.
you guys are so gullable. first of all ,did you see if its even true. he is not muslim, and we say happy holidays because there are like 15 holidays in december. we are a nation of many people. you guys are like sheep.
Say Christmas all you want too. Let’s see what he does. Bad man