Purpose Organizations are moving beyond the gender binary in the workplace and are implementing diversity management practices, making Lesbian, Gay, Bisexual, Transgender and Queer (LGBTQ) inclusion increasingly important as they continue to remain a disadvantaged group. This paper aims to look into the factors that affect job and life satisfaction among LGBTQ employees in India. Design/methodology/approach Data were collected from 348 LGBTQ employees and analysed using structural equation modelling. Findings The results showed that psychological safety has a positive impact on psychological empowerment, job satisfaction and life satisfaction. Additionally, inclusive climate and inclusive leadership were found to have a significant moderating effect on the relationships. The study also revealed that psychological empowerment plays a mediating role between psychological safety and life satisfaction. Originality/value The study stands pioneers among the works that discuss workplace inclusion among LGBTQ employees in Indian context since LGBTQ acceptance in normal social system is still in nascent stage in Indian scenario. The findings can be used to improve LGBTQ inclusion and promote social development and well-being in organizations and society, as the inputs from the study can be taken up for inclusive leadership development and wellbeing of the employees.