<p>Ensuring the psychological well-being of educators and fostering an environment that promotes empathy and compassion are critical for successfully navigating the dynamic educational environment of this modern era. This study aims to bridge the existing literature gap by examining the impact of psychological safety (PS) on the dimensions of psychological well-being, as there has been a dearth of studies on how psychological safety specifically affects the different dimensions of psychological well-being. The study incorporates Job Demands Resources (JDR) theory, Self-Determination Theory (SDT), and Conservation Resource Theory to examine how psychological safety affects academics’ environment mastery, positive relationships with others, autonomy, personal growth, purpose in life, and self-acceptance. Responses were collected from 175 academicians based in Mumbai and Pune. Results confirmed the positive influence of psychological safety on autonomy, personal growth, environment mastery, positive relations with others, and self-acceptance; however, it did not affirm the effect of psychological safety on purpose in life. The impact of age as a moderating factor was not supported. By investigating the relationship between these constructs, we aim to uncover valuable insights emphasizing the need for organizations to prioritize initiatives aimed at fostering psychological safety among employees for employee welfare and organizational effectiveness. The study also offers directions for future research by encouraging longitudinal, comparative, and cross-sectoral investigations to deepen understanding and broaden the applicability of these findings.</p>