SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C. 20549
                                   ----------

                                    FORM 8-K
                                 CURRENT REPORT

     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

                        Date of Report September 26, 1997
                        (Date of earliest event reported)

                        HOSPITAL STAFFING SERVICES, INC.
             (Exact name of registrant as specified in its charter)

   FLORIDA                          1-11131               59-2150637
   (State or other jurisdiction     (Commission           (I.R.S. Employer
   of incorporation)                File Number)          Identification Number)

                      6245 North Federal Highway, Suite 500
                       Fort Lauderdale, Florida 33308-1900
                    (Address of principal executive offices)

                                 (954) 771-0500
               Registrant's telephone number, including area code















                HOSPITAL STAFFING SERVICES, INC. AND SUBSIDIARIES
                                    FORM 8-K

ITEM 5. OTHER EVENTS
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PRESS RELEASE ISSUED SEPTEMBER 26, 1997:

Fort Lauderdale,  Florida, September 26, 1997 - Hospital Staffing Services, Inc.
(NYSE:  HSS) today reported that it expects to record a charge of  approximately
$3 million  against its results for the third quarter ended August 31, 1997, and
that its liquidity has been  materially  and adversely  affected by the Medicare
program's recoupment of payments to the Company's New England medicare home care
provider. This charge and the Medicare payment recoupment, which was implemented
on  September  19,  1997,  are  related to notices of  Overpayments  After Final
Settlement  received by the Company  from the Medicare  program  relating to the
Company's New England home care operations for fiscal years 1993 and 1994, which
are in excess of recorded  reserves.  The Medicare  program seeks  recoupment of
such alleged  overpayments in the amount of approximately $4.8 million from cash
payments  otherwise  due to the  Company's  New England  home care  provider for
services provided in 1996 and 1997.

The Company  continues  to contest the  overpayment  and to seek relief from the
Medicare   payment   recoupment   through  all  means  including  the  program's
administrative  appeals  process.  The  Company  also  has  under  consideration
alternative   means  to  augment  its  short  term  liquidity  to  fund  current
operations,  including the  possibility  of assets sales,  cash  infusions  from
strategic and/or financial  partners,  and possible business  combinations.  The
Board of Directors of the Company has also authorized  management to explore the
possibility of a protective  bankruptcy  filing.  There can be no assurance that
the Medicare  payment  recoupment will be lifted  administratively,  or that the
Company  will  be  able to  raise  sufficient  cash  to  continue  to  fund  its
operations.  If the  Company  is unable to fund its  operations,  the  Company's
ability to continue as a going concern may be adversely affected.

Hospital  Staffing  Services,  Inc., is a professional  health care services and
recruitment  organization.  The Company  specializes in the provision of nursing
services to patients at home and in health care institutions  through a regional
network of home health care offices;  rehabilitative services;  support services
to an array of healthcare providers;  and in the placement of medical personnel,
on a temporary and interim basis,  in hospitals and other health care facilities
located throughout the United States and the U.S. Virgin Islands.






                HOSPITAL STAFFING SERVICES, INC. AND SUBSIDIARIES
                                   SIGNATURES
                               SEPTEMBER 26, 1997


         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned, hereunto duly authorized.


HOSPITAL STAFFING SERVICES, INC.


By:  /s/Ronald G. Huneycutt               Ronald G. Huneycutt, Vice President of
     Ronald G. Huneycutt                  Finance, Chief Financial Officer
                                          (principal accounting officer)
                                          Date:  September 29, 1997