The word “ex-gratia” has not been defined in any labour enactment.
As per Oxford English Dictionary ex gratia is a payment, done from a sense of moral obligation rather than because of legal requirement.
It is very clear, as per the pronouncement of various High courts/Apex court in their many judgments that whether a particular item of payment is or is not a part of a wages/salary must be decided independently of any contrary agreement between the parties.
If the terms of appointment described for payment of performance commission it should be paid under the same head in pay slip the practice of employer for paying the same as ex gratia cannot be appreciated.
However, if any payment is made under the head ex gratia that too on monthly basis that would attract contribution towards PF/ESI.
Any payment as ex gratia at the best can be termed as allowance and can be paid through pay sheet for the purposes of CTC.
Pkjain