Comment 6 for bug 181488

Looking at this with the Objects window makes it clear what is happening.

* A newly created sub-layer is put among the other objects and stays on top (makes sense as it is the newest object)
* pasting the bottom most object into said new sublayer arranges it in the respective z-order and puts it above all other objects.

This looks to me like the correct behaviour. Arguably this is a bit unintuitive if only the limited layer window is used. If anybody thinks there is still an issue with that please open up a new issue on http://inkscape.org/report.

Closing because everything happens as expected.

Closed by: https://gitlab.com/mray