An optical line terminal transmitter front-end, an optical network terminal receiver front-end and a bit-interleaved passive optical network (BIPON). In one embodiment, the transmitter front-end includes: (1) a bit interleaver configured to group and interleave a plurality of user bit-streams to yield a combined single bit-stream, (2) an encoder coupled to the bit interleaver and configured to encode multiple bits of the single bit-stream into a multi-level code corresponding to a 2m-level multi-level signal and (3) a multi-level modulator coupled to the encoder and configured to modulate the multi-level code into the 2m-level multi-level signal.