No, that is not supposed to happen. You overcompensated and now there is way too much lost motion. What model is this? 140 series or 200 series?
Let me ask this, on the keys that you have not touched yet, do they work normally or do the hammers not always return (which means the jack is getting hung up in the felt)
IF THEY WORK FINE: Leave the lost motion adjustment alone. This adjustment is either for keys that feel sloppy before you adjust it and want to tighten them up, (The sloppiness IS the lost motion) or on the other end of the spectrum, you would add lost motion ONLY on keys where the jack gets hung up in the felt causing the hammers to not return completely. The latter is VERY rare in a Wurli. (and is sometimes caused by weak jack springs)
IF THEY DO NOT WORK FINE: Describe what is happening in detail and we will go from there.
In general, the Letoff adjustment is the main adjustment that you need to be concerned with in a Wurli EP, not the lost motion. Only adjust the lost motion if absolutely necessary.
Minute adjustments of the capstans can change things quite a bit in a Wurli. Remember, the parts are all scaled down compared to acoustic pianos, yet the capstans are full sized piano parts.