try this :

CREATE PROCEDURE [dbo].[Employee_Add]

@CategoryID Int,

@EmpName varchar(10),

@CreatorUserID Int,

@SenderUserID Int

AS

BEGIN

SET NOCOUNT ON;

INSERT INTO Empl

(CategoryID, EmpName, CreatorUserID, SenderUserID, CreatedDate,

LastModifiedDate, IsDeleted)

OUTPUT INSERTED.categoryID

VALUES

(@CategoryID, @EmpName, @CreatorUserID, @SenderUserID, DEFAULT,

DEFAULT, DEFAULT)

END

Resolution: Output clause should...