MCD employees and their dependents will no longer need to depend only on government hospitals for medical treatment.
The Municipal Corporation of Delhi (MCD) has implemented the MCD Employees Health Scheme (MCDESH), similar to the health schemes run by the Central Government and the Delhi Government.
Under this scheme, MCD employees and officers will be able to get cashless treatment in private hospitals. Earlier, this facility was stopped because MCD was not able to make timely payments to private hospitals.
Due to this, employees had to rely on Delhi Government hospitals and dispensaries for treatment.
The proposal for this scheme was approved by the corporation house in September 2025, and orders have been issued to implement it from January 1. Around one lakh permanent MCD employees will benefit from this scheme.
What Was the Problem Earlier?
Although medical facilities were available earlier, cashless treatment was not provided. Due to MCD’s poor financial condition, hospitals on the MCD panel were not paid on time.
Because of delayed payments, many hospitals refused to offer cashless treatment to MCD employees. As a result, employees could not fully use the health facilities available to them.
How the New Health Scheme Will Work
The new MCD Employees Health Scheme has been implemented based on a report prepared by a committee led by the Director of Hospital Administration, which highlighted the need for a better system.
According to a senior MCD official:
A separate bank account will be created for this scheme.
Monthly contributions made by employees will be deposited into this account.
Payments to hospitals and diagnostic labs will be made directly from this account.
Under this scheme:
Permanent employees will get completely cashless treatment
Medicines and medical tests will also be cashless
MCD will issue medical cards to employees, mentioning the employee’s name and their dependents
Since about 70% of employees do not use medical facilities regularly, and only around 30% use them, the system will work smoothly through rotation, ensuring hospitals are paid on time.
Separate Account to Solve Financial Issues
Under the old health scheme:
Employees paid a monthly contribution
The money went into MCD’s general account
The same account was used to pay salaries, pensions, and hospital bills
Because of this, hospital payments were often delayed.
Under the new scheme:
A separate account will be opened only for healthcare
Employee contributions will be used only for medical expenses
MCD’s poor financial condition will not affect hospital payments
This change is expected to ensure uninterrupted cashless healthcare for employees.
Monthly Contribution by Employees (7th Pay Commission Levels)
| Pay Level | Monthly Contribution |
|---|---|
| Levels 1 to 5 | ₹250 |
| Level 6 | ₹450 |
| Levels 7 to 11 | ₹650 |
| Level 12 and above | ₹1000 |
