No, the O2 Sensor is on the exhaust manifold. Bosch O2 sensors seem to work fine, to me!
That engine is designed to work with a cat. I can't imagine why you had it removed. But hey, you get the benefit of smelling all that unburned stuff, that the cat would have taken care of.
You might be facing multiple problems. Is that a 1.6/8 valve, or a 1.3 in that 89 Kick?