Combine caramels and milk in a heavy saucepan; cook over low heat, stirring constantly, until smooth. Stir in pecans, and drop by teaspoonfuls onto buttered baking sheets. Let stand until firm.
Microwave chocolate kisses in a 1-quart microwave-safe bowl at HIGH 1 minute or until melted, stirring once. Dip candies into melted chocolate, allowing excess to drip; place on buttered baking sheets. Let stand until firm.