Using PSE 12 from Lightroom 4.4

I use Lightroom 4.4 for sorting/selecting and lighting adjustments. I then want to "edit in PSE 12" to add layers so that I can move/remove objects etc. However, when I choose "edit in Elements" it launches PSE 12 opens the RAW file as a TIF. It allows me to make lighting adjustments, but I can't create layers, because  the option is greyed out. How can I fix this please?

To be able to use layers in  PSE12 or use all the tools, you must be in 8 bits mode. Either set LR to export in 8 bits, or in Elements, use the menu Image / Mode to convert to 8 bits.

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