This paper investigates the effect of link-layer error mitigation support in MIMO wireless linking systems, and compares connection approaches between SISO and MIMO at different BER operating points substantiated by analysis of captured channels. In particular, this paper concentrates on a packet-based TDD approach, with a link-layer error mitigation scheme based on selective-repeat ARQ of segmented IP packets. Analytical expressions are derived for transfer efficiency over such a system, and simulation results presented to verify performance in terms of application delay experienced by users under various error conditions. This is repeated for SISO and for three alternative MIMO connection arrangements. Result show the degree of improvement available through the incorporation of link-layer error mitigation based upon the selective repetition of erroneous sub-IP packets, and in particular that presenting decomposed MIMO bit-pipes exhibiting diverse error conditions to the link layer, may be advantageous.