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A previous employer of mine did things. Not sure if it was a trash/recycling company they had contracted directly, or whether the building that the employer was leasing had made the arrangements with the trash/recycling company.
In this case, the separated trash and recyclables were being put together into a compactor. Supposedly the compacted mix was then taken somewhere else, where the recyclables were separated from the trash.
I didn’t doubt the basic premise of the story, but it sounded like a totally inefficient way of handling trash and recycling, especially since stuff like oil/grease from food waste can render otherwise-recyclable items (like all the PAPER that an office generates) unusable for recycling. I suspected there were kickbacks involved.