['and a reduced flat 7/16" washer is fitted..']....Of course that should say nut....:laughing:
The gearchange assembly 'floats' between the faces of the inner and outer cover 'top hat' bushes..With the nut and washer fitted against the shoulder and the circlip fitted at the outer end of the gearchange shaft there should be no axial loading....If the bushes are the correct fit in the cover nothing will move as there is no force being applied to move anything...Ian