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Grant Permissions not working on Sharepoint List



I have a list in Sharepoint called Checkin that is limited to Managers only. BUT, if the manager creates an item and fills in the notify employee field, then it starts an spd2007 workflow that should Grant Permission to the employee Employee (EE) Name using the field name from out Active directory ie: directoryname/username and allow them to view the dispform.aspx

I am not sure what I am doing wrong. I have tried Grant Read Permission on CheckIn to ChecIn:Employee (EE) Name and Grant Contribute Permission on CheckIn to ChecIn:Employee (EE) Name

When the employees receives the email and clicks on the link
Click<a href=" http://networkname/SiteDirectory/SiteName/Lists/Check%20In/DispForm.aspx?ID=[%CheckIN:ID%]&Source=http%3A%2F%2Fnetworkname%2FSiteDirectory%FSiteName%2FLists%2FCheck%2520In%2FAllItems%2Easpx">HERE to view the Form</a>
they get an error message from Sharepoint saying they don't have permission to access the site!

Any help would be appreciated.