You will read that the worms migrate up to the food and that they only feed in the top couple of inches. It's not all true. Some do, some don't. You will find worms at all levels of your bin. They will eat the bedding as it decomposes. In fact, if you just gave them bedding, they would just eat bedding. Kitchen scraps provides a more ample food supply for the worms as it decomposes more quickly. The more food, the healthier and more plentiful your worms will be. The bedding will still break down and will eventually be consumed.
The best advice I got when I started out was to be patient. It just seems nothing is happening and then all of a sudden, one day (according to the worms' times table) you notice the bin is full of castings and it's time for more bedding, another bin, etc. etc. etc. Enjoy the ride and think in terms of months and not weeks. The worms will get to it all.

Thanks. I'm not a good waiter. But I'll try to take your advice to heart and chill.

If it gets too hard to wait, you can harvest castings with a wood framed shaker. I know there will be some in this forum that would disagree, but I think it is important to get some results early in the process.
I harvested my first casting after about a month. I just put the contents of the worm bin across a screen. The castings fell through the 1/8"mesh and the worms and compost (food and bedding) went back into the bin. It's easy and I have yet to see any worms commit suicide following the procedure.
It didn't produce a ton, but enough to show others why and what I was doing. It keeps the enthusiasm up.

It will likely happen when you get busy and finally forget about your worms for a little while. Then next time you check on them, WOW the bottom and corners of the bin are full of this wonderful brown stuff. Of course there are still some bits of bedding and the other odd bit of stuff but "wow how did all that happen while I wasn't looking?" Patients is the key. A new bin takes a lot longer to produce than one that has matured.

The newspaper that I used as bedding must have broken down very quickly because while the worms ate very little food most of the bedding has turned to vermicompost. I have recently noticed that the worms are eating a little bit more food over the last couple of weeks. Maybe it's because there is not much bedding left for them to eat and they now have no choice but to eat my cooking or their own you know what. At leasst now I know that my cooking is better than.