Employer stated my position is being eliminated. Gives it to another employee.

Location: California.

Hello all, I have been employed with a wireless authorized retailer for over 10 years. I was a Retail Store Manager for 7 years, and was promoted to District Manager in March of 2025. I am tasked with managing 10+ retail location in the Southern California area with an annual salary of 95k + monthly sales incentives, and car allowance (gas card + $300 monthly car allowance). The offer letter states “this letter in no way changes the employment-at-will relationship”. It also states that the District Manager must maintain top 50% of performance and operational ranking.

On December 26th, I was sent a Teams link with my Market Director (direct supervisor) and AVP (his supervisor). During the meeting they stated that the company was undergoing a “reorganization” and my district is being dissolved and my position is being dissolved as well. They stated multiple times that this is not related to my performance. They offered me two options. 1- Maintain my DM position, as there are two other positions available in California but would require relocation (San Francisco, & Northern California). 2- Demote to a store manager role with a wage of $26/hr + monthly sales incentives. I informed them that I am unable to relocate due to family reasons, so the only real option would be to demote. They informed me that this change would take effect on January 1st.

I later find out that my district is not being dissolved at all. A different district in my Market is being absorbed into different districts, and the company is giving my position to that District Manager. For context, this District Manager is the top performing DM in the Market. I am the newest DM in the market and still establishing the district, as it underwent several setbacks during my first few months in the role. I have not met the commitment of maintaining top 50% in performance ranking, however I have not been placed on any type of performance improvement plan. I was told several times by my MD and AVP that this demotion was not tied to performance and I would be eligible to apply for the next open DM position.

The following day, my AVP reached out to me directly stating that there in another position opening with a comparable pay to the DM salary, and I can interview for that position this week, however it is not guaranteed.

Seeking advice if I should contact an employment lawyer regarding this, as this forced demotion is based on deception.

Thank you in advance for any and all advice.