The union and the company negotiated a new contract.
Tips
usage
协商 emphasizes mutual discussion and consensus-building. It's more formal and diplomatic than 商量 (shāngliang, to discuss/talk over), which is used in everyday situations.
culture
中国人民政治协商会议 (CPPCC, the Chinese People's Political Consultative Conference) uses 协商 in its name — it's a key term in Chinese political discourse meaning 'consultative democracy.'