my playlist in itunes won't copy to iphone

I checked that I have the manually manage device box checked. I've dragged podcasts into a playlist. I have selected the iphone icon, I've selected the "on This iPhone" tab. I selected the playlist I want to move and then clicked on the "Add To..." icon. I now see the playlist with 37 podcasts listed and I select the "Done" button above.

When I go to the actual iphone I see the playlist I created but it is empty. But the 37 podcasts in the playlist look like they are on my iphone attached to my iMac from iTunes. But they are not on the iphone. This used to work without any trouble. I think the last software upgrade may have broken this feature. True?