Never seen this before. But in my area there are only self-service pumps except for few Shell pumps.
I think they're suggesting you should wear a glove.
No, I just can't remember the last time my hand smelled like gasoline. I mean generally the gas goes out of the nozzle into the tank. Seems like there might be some weird acrobatics involved to actually get it on the handle. Hell, most handles have a boot on them to further prevent that sort of thing.