Yes, as drawn, the opto circuit is not isolated.
It would be isolated if the opto output was used to short across the PB without a connection to +12V, with an added Darlington or Sziklai stage if needed (the Sziklai having a one diode lower drop).
The question is still, of course, how much current is the switch conducting when on, and how low a voltage indicates a PB press..
It would be isolated if the opto output was used to short across the PB without a connection to +12V, with an added Darlington or Sziklai stage if needed (the Sziklai having a one diode lower drop).
The question is still, of course, how much current is the switch conducting when on, and how low a voltage indicates a PB press..