Suggesting you leave the worship part of a school assembly sounds like a fairly reasonable suggestion on the part of your colleague, Steve. I can't imagine why you should think it would have made you look foolish, rather than principled.

But earlier you seemed to be saying that if doing what they were employed to do, and complying with what the law laid down, was against their principles, people should resign, or not be employed in those jobs in the first place. But now you seem to condone covertly evading the law in cases where you disapprove of it. Some might consider there might just possibly be a conflict between those two positions.