What CAESAR will do is assume you've installed your system perfectly in a zero gravity environment, and then turn gravity on, compressing said blocks, causing everything to deflect.
This is unrealistic - typical work practice is to install the pump and bolt up to it.
I suppose to some degree, the weight of the piping could compress the blocks further, and this would be synonymous with settlement.
I'm not going to say he's wrong, but I've not heard of this practice before, and the net effect is that your calculated nozzle loads will vary as a result.