That's crazy that you can't do text on a path... what a bummer! I was sure there must be a way, till I read this:
With Photoshop 6.0, text is easier to implement, too. This version offers on-canvas text editing, just as almost every $50 image editor does--you can now just place your cursor on the canvas and start typing. Text remains editable so long as it is in vector format. A new text warping feature does a great job of molding text around part of an object, but you can't write text on a path. For example, you can't draw a meandering line across the page and make text adhere to that line. (You'll still need Illustrator for that.)
Have you played around with that text warping feature? Sounds interesting at least.