I think it’s because of the lot trait that generates the trash collector. It needs to have trash you can interact with, either recycle, compost, or take out the trash. If you choose to take out the trash your outdoor bin fills up, and you will be charged for trash pick up. I think adding a recycle all option would have made more sense, but there always seems to be something that gets overlooked. You could just choose take out the trash and cancel the action, then your Sim will just drop it on the floor so you can recycle it that way.