I think what your team leader has said is wrong and such an awful thing to say. In what context did your team leader say
"loosing a couple of friends over this is one thing but would i be willing to loose my job"? Were they warning or even threatening you not to carry on with your transition otherwise you'd be risking your job? It sounds awfully like that to me.
You've said that you changed your name prior to starting and told your employer about your transition, so you have started the job as male. Legally they can't sack you for transitioning at work.
bochad wrote: I have just had my first supervision and we discussed my transition and what we were going to do with reguards telling the service users as they were still seeing me as a woman. As we discussed the subject my team leader gave me the impression that due to the service users needs and illnesses that it would be awkward to explain to them about me and could i take it if they started calling me names.
Sounds to me like they are scared to do the right thing. You're in this job as a guy and I know it must be a little awkward if you're not passing all the time just yet but these service users need to know that you're a guy. I don't know how your job is but were you introduced as a guy to the service users when you started?
Do the service users need to know you're transitioning, can they just be told you're a guy regardless if you pass fully or not just yet?
I'm not sure on the best course of action, I guess it depends on what happens next. I'm also not fully acquainted with all the relevant laws on discrimination but I know that this is certainly wrong, they can't discriminate against you because of your gender.