I don't know if this will help, but here goes. It may seem as if they are not lifting up when you do switch the button but, they may rise when you start the 1st stitches. Hope this is the case.

Thanks yorkibear! The lady that I purchased the machine from forgot to include the pressure foot holder so I am holding off doing anything until I get it to see if your suggestion works. I sure hope its the case as well. I really don't want to have to bring it in for repairs so soon after getting it.

Hoerlel, I have an 8500, and that switch on the bottom is the only way I know to raise & lower the feed dogs.

Msmeow, I have been doing some research on the pc-8500 and if it is used for mostly embroidering, the feed dogs have a tendency to get stuck in the down position as I think the case is with mine. So, off to have it serviced and looked over. I just hope that it is not going to be an expensive repair. Thanks for you input. Lucy