Yes, you are correct.
Box 1 should reflect that those deductions were taken out pre-tax. Speak with your employer (if you have not already) and point out the error.
Please see the following link for more information IRS General Instructions for
Forms W-2 and W-3 (click here)
Page 15 of 32 states what should and should not be included in box 1 of the form W-2.