The practices and perceptions of Wisconsin employers regarding welfare recipients were examined. First, 500 employers outside the Milwaukee metropolitan area were interviewed by telephone. Those data were merged with data from a survey of Milwaukee-area employers, resulting in a statewide sample of about 1,250 Wisconsin employers (25%, 35%, and 40% of whom were from small, medium, and large firms, respectively). In the current robust economic cycle, the job market appeared quite capable of absorbing most former welfare recipients who exhibit even a bare minimum level of job readiness. Most employers believed that their role in supporting their employees involves not much more than providing a paycheck. Nearly one-third of employers interviewed indicated that their most recently hired former welfare recipients' chances for promotion were fair or poor. The implications of these and other findings regarding new hires' characteristics, qualifications, and job performance were examined. The following were among the recommendations offered: (1) promote increased employment involvement in and awareness of welfare-to-work efforts; (2) increase education and training opportunities to prepare individuals for the future demands of a less favorable labor market; (3) boost support programs, including child care, transportation, and housing; and (4) expand efforts to implement the Workforce Investment Act. (Contains 34 tables/figures.) (MN)