I can all but guarantee it’s the latter. I have even noticed this at most Starbucks. They got rid of separate bins for recycling and just do trash/landfill now.
Fwiw, recycling doesn’t work anyway, except for metal. But even then it’s highly dependent on people cleaning the metal before recycling.
My understanding with glass is that it’s still cheaper to make new glass than recycle it whereas metal the costs have just about evened out.
Last I read about high density plastics is that they aren’t as strong after the first use. So they can’t be reused as high density plastic and have to be mixed in with other plastics.