All butterflies, pigs, and chickens do this. For pigs you can remotely pet/nibble via the icon. Butterflies you can remotely milk them via the icon. Chickens can be squeezed via the icon. (You can do this with trees, too. Except it will make you walk to it) This has been this way for a very long time, Tibbi. You just noticed it ;)
But, I think they are broken with their little icons stuck on.
I've always been able to see the icons when I mouse over the animal. The change is they are on without the mouse-over. Of course, once the chicken is completely squeezed, the icon disapears from that chicken.
I thought it was a neat update, because I've always thought it would be nice if I didn't have to mouseover to see which chickens/piggie/butterfly was done, esp in a place with lots of them.
Icons been on for me for awhile(months) as well, was the only way to easily clear a street with 9+ pigs on it. Not sure if they changed it now to be always on but they show up when I mouse over them.
It originally started as always being on, but people suggested they would prefer to mouse-over because of screen clutter, so it was changed it to mouse-over. This sounds like it's a bug if they are always on again.
maybe it could be an option (and worked with all the animals)? Because I really liked it. And then it could be turned on/off as you needed it or wanted it out of the way.