Yes the bushing is likely and it is a simple job.

If the bushing is the problem, it is because you aren't moving the shift valve far enough when the shifter is in the "D" or "R" position. This is easily overcome for diagnostic purposes by just moving the shifter till the gear is engaged. There is no way the lack of a shift bushing can keep the car out of gear unless the rod has totally fallen off and in that case it would never work again and you would notice nothing happens when the shifter is moved.

Pull the shifter past the gear and it would engage if the bushing is the problem. The only gears you can't do this with is "P" and "1" or "2" whatever is the lowest gear. because of this be sure you are in Park if you don't set the brake.

__________________
Steve Brotherton
Continental Imports
Gainesville FL
Bosch Master, ASE Master, L1
33 years MB technician