Android Police co-founder Artem Russakovskii took to GooglePlus to break the news, stating:
"I'm told that Android 5.1.1 for both Android phones/tablets/etc and Wear will be released in the coming days (later this week or next week). I'm guessing Google may be just waiting for 5.1.1 to update N9, N4, and N7 2013. You should expect that gesture control and Wi-Fi in Wear 5.1, as previously rumored."
Where Russakovskii references the "N9, N4 and N7 2013" he is likely talking about the Nexus 9, Nexus 4 and Nexus 7 (2013), which are usually first out of the gates when it comes to Android updates. As for the "gesture control", Android 5.1.1 could bring support for Android Wear which would allow you to scroll through notifications using your wrist, rather than two-hands (a simple, but nonetheless welcome, addition).
Typically, Android Wear smartwatches rely on communication with a connected smartphone via Bluetooth, but most come with a pre-installed Wi-Fi chip which, thus far, has been lying dormant. This Wi-Fi component is rumored to be activated once the latest patch arrives.
Another improvement likely to appear in the new build is a fix for the notorious Lollipop memory leak issue recently closed on Google's issue tracker page. We'll keep you updated as we learn more.