The Director asked if I would take on a new position. The position was described as being a promotion with a pay increase. The Director put in writing that the change in position for me had been approved by the VP and only the HR paperwork trail was lacking. However, I would be paid retroactive until the papertrail caught up. There was an internal and external announcement of the change in position/duties. Now the company is saying oops - the director should not have made that offer. It was a mistake. What can I do about this?

Probably nothing. This is not like a contract it's a one sided deal and can be rescinded.

In business, until Human Resources finalizes (they have to ensure that they have certain percentages of races, male/females, etc.), they cannot give you a promotion.

The Director was wrong in what he/she did and owes you a BIG apology.

I would say they should give the raise, but they are not required to. A company may promote and demote and give raises and take away money if they wish, if there is no contract.

Personally I would ask for a meeting of the Director, VP and HR.

Also has someone else been given this now