I have mixed feelings about jiffy pots. They are convenient and earth-friendly, but can inhibit root growth if you don't keep the whole pot just slightly moist a lot of the time- when they are dry, they are VERY hard and tough!
That being said, did you see in one of the pics in my log there's a CASE- yes, 2,500 of them? haha!

I prefer plastic 3" pots for the first transplant (nursery 6-pax to 3" pots) of plants I plan to keep around, but when I start stuff for the outdoor garden, jiffy pots are GREAT. I have all my tomatoes and peppers and shit in them!

I don't think you should peel them off, but I DO think that you should let them degrade a little or shred them up just a bit before planting in the next size pot.

My transplants are:
Seedlings in nursery 6-pax to 3" plastic square deep.
Young veg in 3" plastic to 6" plastic, again the square deep ones.
MAturing veg in 6" plastic to 10" square 3 gallon to flower keep as mothers, or put outdoors.

Clones are taken while the plants are still in the 6" pots.