Symptoms
While we are disabling any user from UI, it is not making an Active user, In-active or an Inactive user, Active.
Diagnosis
The statuskey Attribute in the Global Configuration was not set to 'Editable on Update'. After making this active, the user status should be updated.
Solution
After Updating the statuskey Attribute in the Global Configuration to 'Editable on Update', we can update the user status from the UI