I would like to know is it legal for a company to demote you without telling you exactly why you been demoted and the position they want to give you is nearly a 50% pay cut. Just out of the blue my area manager told me I was getting demoted and to this da

I'm a contracted site manager for this company that works for a fruit and vegetable plant. Past month employees have been damaging equipment via water or dropping items. Which is completely out of my control if I'm not there however I've been held responsible for these incidents without cause. Me and the QA have had many differences due to the fact that she is prejudice. Anyway long story short week ago my area manager came and told me that I am been demoted from my site manager to a lead. I wasn't giving any reason why I was being demoted or what lead up to these actions.