OLSHAN GRUNDMAN FROME ROSENZWEIG & WOLOSKY LLP
                                505 PARK AVENUE
                            NEW YORK, NEW YORK 10022









                                                  September 25, 2000



Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC  20549


                            Re:   Healthcare Services Group, Inc.
                                  Registration Statement on Form S-8


Ladies and Gentlemen:

         Reference is made to the  Registration  Statement on Form S-8 dated the
date  hereof  (the  "Registration  Statement"),  filed with the  Securities  and
Exchange   Commission  by  Healthcare   Services  Group,  Inc.,  a  Pennsylvania
corporation (the "Company").  The Registration Statement relates to an aggregate
of 500,000 shares (the "Shares") of common stock,  par value $.01 per share (the
"Common  Stock")  that  may be  issued  by the  Company  upon  the  exercise  of
outstanding  stock options granted  pursuant to the Company's 1995 Incentive and
Non-Qualified Stock Option Plan, as amended (the "1995 Plan").






Securities and Exchange Commission
September 25, 2000
Page -2-


         We advise you that we have  examined  originals or copies  certified or
otherwise identified to our satisfaction of the Certificate of Incorporation and
Bylaws  of the  Company,  minutes  of  meetings  of the Board of  Directors  and
stockholders of the Company, the 1995 Plan, the documents to be sent or given to
participants  in the  1995  Plan  and  such  other  documents,  instruments  and
certificates  of  officers  and   representatives  of  the  Company  and  public
officials,  and we have  made such  examination  of the law,  as we have  deemed
appropriate as the basis for the opinion hereinafter  expressed.  In making such
examination, we have assumed the genuineness of all signatures, the authenticity
of all documents  submitted to us as originals,  and the  conformity to original
documents of documents submitted to us as certified or photostatic copies.

         Based upon the foregoing,  we are of the opinion that the Shares,  when
issued and paid for in accordance with the terms and conditions described in the
1995 Plan, will be duly and validly issued, fully paid and non-assessable.



                            Very truly yours,

                            /s/ Olshan Grundman Frome Rosenzweig & Wolosky LLP
                            OLSHAN GRUNDMAN FROME ROSENZWEIG & WOLOSKY LLP