Diminished Earning Capacity Lawsuits in Oakland: What Injured Victims Need To Know

BY GOC LEGAL, 2025-12-05

What Is Diminished Earning Capacity?

Diminished earning capacity refers to the long-term impact an injury has on your ability to earn income in the future. Many people confuse this with lost wages, but they are not the same. Lost wages cover the income missed while you recover. Diminished earning capacity focuses on how your injury affects your long-term career, future raises, promotions, or ability to stay in your field. Even if you can return to work, the law allows compensation if your earning power has been reduced.

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BY GOC LEGAL, 2025-12-05