you need to push the pads further together…. back off all adjustments, take out the rear wheel and put a cd inbetween the pads and then press the lever a few times untill it bites, then loosen the caliper bolts, put the rear wheel back in pull the lever and tighten the bolts as you would in the first setup, you may then need to put a it more fluid in the resoviour and put an elasic band around you lever to depress it and leave overnight, check your fluid levels again, when you try it next time your brakes should bite sooner and feel solid. then you can start adjusting everything
this is what i do t my XT nd SLX brakes……..if i’m not expaining this well enough mail me.