Workgroup templates problem

We are W2K with Active Directory and using Office XP.

I have put our office templates on a server (\\s1\templates).

Group policy for the domain tells people to find their templates in that directory.

However, I am having various users call me during the day saying they can't access the templates when they choose new document. I check the settings on their PC and where it should show the above location it is blank.

Any idea why this might be occurring?