OllyOrc gave kudos to MichalJ in ESMC 7 disabling Mac OS update notifications
Is the setting set to "Apply" ? If you request the configuration from the affected computer (one click action in computer details), what is the output? My suspicion is, that the "apply" flag is not correctly set.
Also, is the machine connecting correctly to the server? Meaning, if the settings correctly replicated.
OllyOrc received kudos from MichalJ in ESMC 7 disabling Mac OS update notifications
Many thanks MichalJ,
My Apply flags are correct but your 2nd picture -> Settings -> User Interface -> Protection Statuses -> Send to ESET Security Management Center -> Unticking the Operating system is not up to date, seems to have been the solution.