He was two places off qualifying anyway wasn't he, or three even? It would rarely make a difference as it's rarely what is it 16th being pushed to 17th by the guy blocking, it's usually someone on track preventing someone hitting 16th meaning they never actually did a lap fast enough. You can't just bump someone up the order with a lap time they didn't achieve.
personally don't think it was a penalty either. Sometimes you just get a car find you at the wrong point. He had three options, speed up massively but still could have gotten in the way and was ultimately the best choice. He actually focused too much on getting out of the way but he was up to the corner. Had he been up the inside, look how far up he was, he'd have been blocking the apex. Where he was, right on the outside, was better than the inside by a mile. Button hit the apex and got the exit not to bad, in the end he took the corner not monumentally off line but he was likely put off and not confident of braking as late as he might want to.
Palmer somewhat panicked, rather than just focusing on his lap and flooring it for the start of the lap he focused on getting out of the way right then. Harsh to penalise someone for ruining the start of his own fast lap by getting out of the way as best as possible. I also don't think he cost Button 3/10ths in that corner so made very little overall difference.