Negotiations between councils and unions continued late into Friday night after a second day of talks.
It is understood discussions are focusing on a new deal for the lowest-paid workers.
BBC Scotland has been told that no deal is imminent but “slow progress” is being made.
Council leaders are said to be discussing what kind of offer they could afford.
Unions are seeking an agreement similar to the one made to council workers in England.
That deal included a £1,925 flat rate pay offer, which the union said would benefit the lowest paid the most.
BBC Scotland correspondent Jamie McIvor said the fact that negotiations were continuing was a positive sign in itself.
He added: “There is the possibility of talks continuing into the weekend or Monday.
“The councils are very sympathetic to the claims being made by the unions, they understand the cost of living crisis and what that means for so many of their staff.
“It is that question of what councils can actually afford to pay, even with the extra £140m they have been given by the Scottish government.”
Fellow bar worker Megan Alexander, added: “I’m finding this disgusting work. It’s certainly not our job. I feel a bit upset about it all.
“Our neighbour who runs an ice-cream shop has had to close due to the rubbish.
“His queue is normally way down the Grassmarket. It’s terrible he’s had to close due to the bins.”
The bar workers said once they had bagged up all rubbish outside the pub they hoped their private refuse collection company would collect it.
Meanwhile, a religious group has said it will be putting 30 trade bins in five locations across Edinburgh city centre, which will be filled and then removed by its volunteers.
A spokesman for the Plymouth Brethren Christian Church said: “We are working with a local contractor with permission from Edinburgh City Council and once filled the bins will be collected and the waste disposed of and the bins replaced.
“We see this as an ongoing operation until a satisfactory pay resolution is reached.”
Trade unions have argued the church’s Rapid Relief Team’s volunteers should put their energies elsewhere.
A GMB Scotland spokesman said: “We’d much rather these volunteers back our members’ struggle for a pay increase that confronts this cost-of-living crisis, so we can tackle the spread of working poverty among Scotland’s key workers.”
Deputy First Minister John Swinney described the bin situation in Edinburgh earlier this week as already being “deeply concerning” for public health, with visitors to the city’s arts festival speaking of their shock at the piles of waste lying next to overflowing public bins.
He said the latest round of talks were aimed at ensuring there was “intense dialogue” around resolving the dispute, adding: “I do hope that leads to substantive progress.”




