Are you running TSM rear discs?

I have TSM rear disc brackets and rotors on my XJ D44. I recently replaced the rear calipers along with a 95booster/master and ZJ prop internals. While i have MUCH better braking the inner pads dont sit flush to the rotor surface.

I noticed the old pads looked the same and thought it could have been an issue with the old calipers or hydraulic pressure before the above mentioned upgrade.

Anyone else have this kit and are experiencing the same?