I just picked up my bike for its 1k at the dealer. They definitely did more than an oil change. Before I took the bike in the clutch would engage nearly right off the grip with the lever pulled in, which didnt seem right. Now the clutch releases right off the fully out position, so I only have to pull it in like 1/2" (or so it feels) and the clutch is released. This doesnt feel right either.

So is this correct or should I take the bike back and have them redo it?

 

Take it back in until you are happy with it. On both of mine the clutches felt "wierd" when I got them back after the 1K. I took them both back and both times they re-adjusted for me no charge. It's kind of a pain because they have to wait until the bike cools down before they can adjust but it's worth it to have the clutch feel right.