A marine propulsion lower unit including a gear case supporting a propeller shaft adapted to carry a propeller, which gear case has an upper surface including therein a cylindrical well defined by cylindrical peripheral wall and a bottom wall having therein an axial bore, a combined shift rod bushing and gear case seal assembly comprising a hub having an axis and axially spaced first and second ends, which hub also includes therein an axial bore extending from the first end, and which hub also includes therein a counter bore extending from the second end, and communicating with the axial bore in coaxial relation thereto, a flange extending from the hub and received in the well in the gear case, a pair of attachment arms extending from the hub in transverse radially outward relation to the axis of the hub and fixedly connected to the gear case, a plug member received in the counter bore and having an axial bore communicating with the axial bore in the hub, a shift rod extending through the axial bore in the plug member and through the axial bore in the hub, a first seal between the flange and the gear case, and a second seal between the plug member and each of the hub and the shift rod.