What a joke this is.
I remember my 'previous' photos issue regarding Time Zones, having to change the system clock to import photos from different zones so they all sit in line (because apple assumes you sync everything with the cloud!).
Anyway i have this same issue. i spent three weeks manually importing 242,000 photos into the new photos app (yes i started fresh and did a phone clean import, carefully moving photos to albums and folders where i wanted.) - and guess what?.. same issues ... i have folders, and in the folders i have albums. I even have folders in folders, with albums within. Very disappointed with this. iCloud is not an option as my photos library is 2.34TB!! so, i am not paying for that capacity per month - not to mention, i really don't want to trust a cloud service with all those photos in case something happens !..
i can sync the photos in albums at the top level hierarchy (so where the medic types are (Panorama, Selfie, Video etc), but as soon as there is a folder it doesn't work.
anyway, i feel like this problem will be an issue that wont improve, how do we get the attention of Apple? an Apple store is 2 hours drive from me, and they would likely want my computer and we will come to the same conclusion ... i don't have apple care, but i don't think i should have to have Apple Care... this is a feature that does not work.
Has anyone tried to see maybe if its iOS that's the issue??? i will do some more testing this afternoon - maybe create a
new library and put some photos in there and see what works and what doesn't. So disappointed..... every time i google answers it alwyas refers to people having issues with iCloud... not everyone uses iCloud for storing music and pictures and video. ... grrr.
sorry for my rant