Emails not sending password to new users when users are added through the dashboard


There has been a change in hands in regards to our design team and I am now in charge of our club website. I am having trouble following the work of the last designer and can't seem to figure out why the user name and password are not sent to new members that are added through the dashboard. I checked the box which asks that a password to be sent to the new user (see screenshot). What am I doing wrong?