Yup. Recirc pump. And that doesn't mean they perform surgery on Mr. Happy a second time.
There must be return a line somewhere in your plumbing system. A recirc line generally pumps into the cold water input line to force hot water out of the heater, and a return line feeds this hot water back to the cold inlet side. This creates a circuit of hot water continuously looping from tank to farthest hot water faucet and back.
This also acts as a big radiator, so there's continuous heat loss. Not great in a hot climate when you're running AC full tilt. Not such a big deal in cold climates during winter as you're going to be paying for heat one way or the other. The timer is to shut off this heat loss when no hot water will be needed, ie 2400-0700h or something like that.