I personally have no issue with what they're adding into the game regarding minorities. It's there for those who care about such things in order to feel better because to them it is an important aspect of life. Naturally it won't make sense injecting modern politics into a medieval fantasy, it will break immersion and such... but immersion and such are not the point of the feature. The point is to make the person feel included, acknowledged and be able to roleplay how they want to, even if it does not make 100% sense. That is the whole point of art, to escape from the injustice of the real world. So since it is optional, I just see it as an accessiblity option so I don't really care what they do with it as it's clearly not a feature meant for me.
As for character customization and how they could have improved that instead of added more features... I am quite pissy about what they did to hair colors and I'm quite annoyed that I went from being able to choose the entire color spectrum of realistically natural colors and being able to create such beautiful unique characters, even from different IPs... to being forced to just a single color (Black Raven) and no longer able to create characters that I want because all the colors look like they belong to damn circus clowns. However they're not really improving drastically any other aspects of the game either. So I do not think that the inclusion of pronouns would have affected the lack of improvements to the character customization.
Each patch is breaking more and more things, so whether they included certain features or not, the character customization would still be in the same state as it is now. Just like keybindings for spells are still missing and other issues. I doubt the inclusion of pronouns is the cause why we have no keybindings

So overall I don't think anyone should see it as an issue. It's optional, it doesn't affect those who don't want to be affected. Those who do end up using the feature, I hope they provide feedback so it could be improved further.