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 (Date of earliest event reported): December 2, 1998

                       COMMISSION FILE NUMBER 000-22647
                       --------------------------------

                        PERITUS SOFTWARE SERVICES, INC.
                        ------------------------------ 
              (Exact Name of Registrant as Specified in Charter)


               Massachusetts                               04-3126919
               -------------                               ----------
    (State or Other Jurisdiction of                     (I.R.S. Employer
              Incorporation)                           Identification No.)


Two Federal Street, Billerica, Massachusetts              01821-3540
- ------------------------------------------------------------------------------
  (Address of Principal Executive Offices)                (Zip Code)
                                        

                                (978) 670-0800
                                --------------
             (Registrant's Telephone Number, Including Area Code)

                                Not Applicable
                                --------------
             (Former Name, Former Address and Former Fiscal Year,
                         if Changed Since Last Report)

 
Item 5.  Other Events.
         -------------

         (a)  On December 2, 1998, Peritus Software Services, Inc. (the 
              "Company") announced a restructuring plan for the quarter ending
              December 31, 1998.

              The details of the announcement are set forth in Exhibit 99 
              attached hereto.

Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits.
         -------------------------------------------------------------------

         (a)  Financial Statements.

              None.

         (b)  Pro Forma Financial Information.

              None.

         (c)  Exhibits.

              99.  Press Release dated December 2, 1998.


                                  SIGNATURES

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.

Dated:  December 4, 1998

                                    PERITUS SOFTWARE SERVICES, INC.

                                    BY: /s/ John D. Giordano
                                        --------------------
                                    Name:  John D. Giordano
                                    Title: Vice President, Finance
                                           and Chief Financial Officer

 
                                 EXHIBIT INDEX


EXHIBIT NO.                   DESCRIPTION
- ----------                    -----------

    99                        Press Release dated December 2, 1998