I don't know if 1/8 is normal, so my observations and theories are just that.
1. If the gears are all good and the you see the drive gear and foot pedal linkage is operating as designed and the return spring, I already mentioned, is good and the "grinding" is coming from the gear mesh/non mesh and not growling from a bad starter motor........then it would have to be the 1/8.
2. 1/8 does not seem to be enough if ALL of the above are correct.
3. If 1/8 is not normal for that starter it would be easy to see where the 1/8 is coming from. I.E. what is missing on one end or the other regarding bushings, spacers, "stops", bearings. Starters are just motors. Easy to take apart and check the end play components, brushes, commutator and etc.... if you are at all mechanically inclined. Two long bolts. Would you want to take off the ring gear if you haven't assured it's not the starter? No. It seems you are saying that the gears are not bad?
4. There is a member here kennethw who knows the answer. Has a rebuild business for these starters and generators and such.
PM or
[email protected] 5. I mention the foot stomp return spring because another member had grinding/intermittent mesh and it turn out to be a missing return spring. Check Loose linkage or any factor that would keep the drive gear from slamming home every time.
Put it back on and check with power off.
6. You don't know if the shaft moves back and forth when starter is engaged on truck. 1/8 would seem to still engage. But agree, it would bother me too.
7. If the growling noise is caused by partial engagement, that can even be the foot switch, electrical intermittency somewhere or the other components I mentioned and not the 1/8 or the gears. You have to observe the action 20 times with someone stomping (power off). Stomp and hold, observe engagement depth somehow, over and over.