Alex Greenwich said he did not want to waste his time engaging the one-time federal Labor leader turned One Nation MP's now-deleted Twitter post but admitted it had affected him.
"It is extremely hurtful when there is a vile homophobic attack directed at you," the member for Sydney told ABC radio on Friday.
"It's not the first time this has happened to me ... that hurt (but it) quickly turned into motivation to make sure we stamp out laws which allow my community to be discriminated against.
"Just as horrific as Mr Latham's comments are, the impact of current legislation in NSW is more horrific."
Premier Chris Minns, who is expected to directly address Mr Latham's tweet later on Friday, told a party room meeting that politics in NSW should not descend into personal insults no matter how much people disagreed.
He encouraged Labor MPs to continue with the respect and civility that characterised the state election campaign and approach every debate and conversation with respect.
"We emphasise our point of view, we say we're heading in a different direction," he told the first meeting of the Labor caucus since the election.
"There's no need to have a race to the bottom and have personal insults. We don't need to do that in NSW politics."
Mr Latham's tweet was posted in response to a news article in which Mr Greenwich branded him "a disgusting human being".
The article followed the targeting of LGBTQI protesters outside a church where Mr Latham was speaking on religious freedom and parental rights last week.
"Disgusting?" Mr Latham wrote, before disparagingly describing sexual acts in graphic detail.
The tweet, posted shortly after 10am on Thursday, was deleted within a few hours but has been widely shared by accounts using screenshots.
Joining the criticism of Mr Latham, One Nation federal leader Senator Hanson said she had tried calling the firebrand MP a few times to ask him to issue a public apology but he had not responded.
Her office on Friday morning declined to say whether Mr Latham had since replied, saying any further response was "up to Mark Latham".
"I want you to know I don't condone (Mr Latham's words) and neither do my members of parliament or party associates," Senator Hanson told supporters on Thursday night.
Mr Greenwich dismissed Senator Hanson's intervention as "empty words", pointing to her recent motion in the Senate which "targeted the trans community".
"This is a party which is based on attacking different minority groups within our community, one by one.
"Sure, she's probably embarrassed by the content of what her state leader had said, but the actions she has taken have consistently been anti-LGBT in the Senate."
Mr Greenwich said he didn't expect an apology from Mr Latham and didn't expect any recourse in the pair's workplace.
Mr Latham joined One Nation in 2018. He was voted in again to the upper house in the NSW election on Saturday, giving the party three MPs in the 42-seat chamber.
