The "whole package" is called GNU/Linux, because only the kernel is Linux proper. You'll never hear rms calling for people to call Android GNU/Linux, because it uses different software for that part.
RMS definitely was right to insist on "GNU/Linux" for GNU systems, though: we have proof now that some people who can tell a kernel from an OS can't express themselves clearly when they do need to communicate that distinction.
Exactly. For years I did not see the point in "GNU/Linux" as a term. I understood why he wanted it called that, and sympathised with him, but I lacked a reason to actually care.
Now though the distraction is useful. I use GNU/Linux on my servers, desktops, and laptops, and I use Android/Linux on my phone. The terminology now makes conversation easier, instead of more cumbersome.