Can your employer cancel a pre-approved vacation?

brian

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My employer canceled a pre-approved vacation. Our handbook says vacations must be requested and approved at least 7 days before the first day of vacation. I requested the vacation 4 weeks prior, and was approved 3 weeks prior. Five days before the vacation was supposed to begin, I receive word all vacations for this month are canceled. The reasoning was there aren't enough people to work the stores that need to be ope without those employees getting overtime. I already had plans for that week, as well as, non-refundable hotel reservations. First, is my employer allowed to cancel my vacation? Is there grounds for a lawsuit? And can I get reimbursement for the hotel?
 
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