diff --git a/src/vs/workbench/services/configuration/node/configurationService.ts b/src/vs/workbench/services/configuration/node/configurationService.ts
index d35876e8d5277c015bdf6d64fa2db9bd32211ba9..b0537b9a12ce2fbdba9c3eab3a71623e49c0703c 100644
--- a/src/vs/workbench/services/configuration/node/configurationService.ts
+++ b/src/vs/workbench/services/configuration/node/configurationService.ts
@@ -167,7 +167,16 @@ export class WorkspaceConfigurationService extends Disposable implements IWorksp
 
 		// Load configuration
 		return this.baseConfigurationService.reloadConfiguration().then(() => {
+			const current = this.cachedConfig;
 			return this.doLoadConfiguration().then(configuration => {
+				// emit this as update to listeners if changed
+				if (!objects.equals(current, this.cachedConfig)) {
+					this._onDidUpdateConfiguration.fire({
+						config: configuration.consolidated,
+						source: ConfigurationSource.Workspace,
+						sourceConfig: configuration.workspace
+					});
+				}
 				return section ? configuration.consolidated[section] : configuration.consolidated;
 			});
 		});
diff --git a/src/vs/workbench/services/configuration/test/node/configurationService.test.ts b/src/vs/workbench/services/configuration/test/node/configurationService.test.ts
index 7f211a0bb2a22bb298a356735b26db86b09306ba..3d202425b4ad7d55b6aee6b3df6329cf0535d5a3 100644
--- a/src/vs/workbench/services/configuration/test/node/configurationService.test.ts
+++ b/src/vs/workbench/services/configuration/test/node/configurationService.test.ts
@@ -9,6 +9,7 @@ import assert = require('assert');
 import os = require('os');
 import path = require('path');
 import fs = require('fs');
+import * as sinon from 'sinon';
 import { TPromise } from 'vs/base/common/winjs.base';
 import { Registry } from 'vs/platform/platform';
 import { ParsedArgs } from 'vs/platform/environment/common/environment';
@@ -227,6 +228,75 @@ suite('WorkspaceConfigurationService - Node', () => {
 		});
 	});
 
+	test('workspace reload should triggers event if content changed', (done: () => void) => {
+		createWorkspace((workspaceDir, globalSettingsFile, cleanUp) => {
+			const workspaceContextService = new WorkspaceContextService({ resource: URI.file(workspaceDir) });
+			const environmentService = new SettingsTestEnvironmentService(parseArgs(process.argv), process.execPath, globalSettingsFile);
+			const service = new WorkspaceConfigurationService(workspaceContextService, environmentService);
+
+			return service.initialize().then(() => {
+				const settingsFile = path.join(workspaceDir, '.vscode', 'settings.json');
+				fs.writeFileSync(settingsFile, '{ "testworkbench.editor.icons": true }');
+
+				const target = sinon.stub();
+				service.onDidUpdateConfiguration(event => target());
+
+				fs.writeFileSync(settingsFile, '{ "testworkbench.editor.icons": false }');
+
+				service.reloadConfiguration().done(() => {
+					assert.ok(target.calledOnce);
+					service.dispose();
+
+					cleanUp(done);
+				});
+			});
+		});
+	});
+
+	test('workspace reload should not trigger event if nothing changed', (done: () => void) => {
+		createWorkspace((workspaceDir, globalSettingsFile, cleanUp) => {
+			const workspaceContextService = new WorkspaceContextService({ resource: URI.file(workspaceDir) });
+			const environmentService = new SettingsTestEnvironmentService(parseArgs(process.argv), process.execPath, globalSettingsFile);
+			const service = new WorkspaceConfigurationService(workspaceContextService, environmentService);
+
+			return service.initialize().then(() => {
+				const settingsFile = path.join(workspaceDir, '.vscode', 'settings.json');
+				fs.writeFileSync(settingsFile, '{ "testworkbench.editor.icons": true }');
+
+				service.reloadConfiguration().done(() => {
+					const target = sinon.stub();
+					service.onDidUpdateConfiguration(event => target());
+
+					service.reloadConfiguration().done(() => {
+						assert.ok(!target.called);
+						service.dispose();
+
+						cleanUp(done);
+					});
+				});
+			});
+		});
+	});
+
+	test('workspace reload should not trigger event if there is no model', (done: () => void) => {
+		createWorkspace((workspaceDir, globalSettingsFile, cleanUp) => {
+			const workspaceContextService = new WorkspaceContextService({ resource: URI.file(workspaceDir) });
+			const environmentService = new SettingsTestEnvironmentService(parseArgs(process.argv), process.execPath, globalSettingsFile);
+			const service = new WorkspaceConfigurationService(workspaceContextService, environmentService);
+
+			return service.initialize().then(() => {
+				const target = sinon.stub();
+				service.onDidUpdateConfiguration(event => target());
+				service.reloadConfiguration().done(() => {
+					assert.ok(!target.called);
+					service.dispose();
+					cleanUp(done);
+				});
+			});
+		});
+	});
+
+
 	test('lookup', (done: () => void) => {
 		const configurationRegistry = <IConfigurationRegistry>Registry.as(ConfigurationExtensions.Configuration);
 		configurationRegistry.registerConfiguration({