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):
                                  June 16, 1998

                           PERSONNEL MANAGEMENT, INC.
             (Exact Name of Registrant as Specified in its Charter)

                                     INDIANA
                 (State or Other Jurisdiction of Incorporation)

               0-23144                                      35-1671569
         (Commission File No.)                           (I.R.S. Employer
                                                         Identification No.)

                1499 Windhorst Way, Suite 100, Greenwood, Indiana
                    (Address of Principal Executive Officer)

                                      46143
                                   (Zip Code)

                                 (317) 888-4400
              (Registrant's Telephone Number, Including Area Code)



2

ITEM 5. Other Events

         Personnel  Management,   Inc.  (the  "Registrant"),   entered  into  an
Agreement and Plan of Merger and Reorganization,  dated June 16, 1998, among DHI
Holdings,   Inc.,  an  Ohio  corporation  ("DHI"),  DHI  Sub  Corp,  an  Indiana
corporation and a wholly owned subsidiary of DHI("Sub"), and the Registrant (the
"Agreement").  A copy of the Agreement is attached  hereto as Exhibit 99.1.  The
Agreement provides for Sub to be merged into the Registrant (the "Merger"), with
the Registrant surviving the Merger. In the Merger, the holders of shares of the
Registrant's  Common Stock will receive  $16.00 for each share held. As a result
of the Merger, the Registrant will become a subsidiary of DHI Holdings, Inc., of
which Linsalata Capital  Partners,  an investment  partnership  headquartered in
Cleveland,  Ohio,  is a principal  shareholder.  The Merger will be treated as a
purchase for  accounting  purposes.  The Merger is  described  more fully in the
press release attached hereto as Exhibit 99.2.

ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS

         (c) Exhibits.

                           Exhibit          Description

                              99.1          Agreement and Plan of Merger
                                                     and Reorganization

                              99.2          Press Release issued by Registrant
                                                     on June 16, 1998






3

                                   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.

Date: June 17, 1998

                                    PERSONNEL MANAGEMENT, INC.

                                    By /s/ Gary F. Hentschel
                                    Gary F. Hentschel, President and
                                    Chief Operating Officer