Possibility of Suing My Employer

What is the name of your state? Oregon

My situation is this: I was accused of stealing something by another employee, and as a result received serious demotions. I am no longer allowed to work any cash registers, and my hours were more than cut in half. The manager took the other employees word without any evidence to back up his case (the manager has stated that this employee is a "personal friend"). This employee made a "detailed report" about 5 or 6 employees stealing things. While everyone else admitted that they did steal things, I maintained that I did not. Also, the day the incident took place I had told other employees that I did not like the employee who filed the report.

So, would I have a case for getting my lost wages?

[Beth3]

Sorry, no. The employer may exercise their judgement and fire or demote an employee suspected of theft or other misconduct. In fact, as an "at will" employee (which I presume you are), the employer doesn't even need a reason. The only caveat is that the employer cannot take adverse employment action BECAUSE of an individual's age, race, religion, gender, national origin, in retalliation for exercising your lawfully protected rights such as filing a worker's comp claim and so on.

The bottom line is that your employer was free to demote you for the reason stated.

Alright, thanks anyway.