Group cannot be assigned as Watchers

Request Tracker 3.2.3

I have a group named “employees”. Group rights under Queue X for this group
include CreateTicket, OwnTicket, ReplytoTicket, Watch.

When a new ticket is created in Queue X and I want to add group "employees"
as Watchers, under Jumbo update --> New Watchers --> Find Group whose name
includes employees --> hit Go!, the screen refreshes with no results to
select from.

I can go into the Queue X configuration and permanently assign this group
as Watchers, I just can’t do it within a ticket.

Any ideas?

Thanks.

Joe Micciche