Building upon the job demands-resources (JD-R) theory, this research offers an in-depth exploration of the mechanisms by which idiosyncratic deals (I-deals), such as personalized work arrangements, can enhance academics' psychological empowerment (PE) and hence affect their work engagement. This study's purpose was to investigate whether PE mediates the relationships between task and work responsibilities I-deals, flexibility I-deals, and work engagement among academics in higher education and whether the mediating effects are moderated by academics' internal locus of control. Using an online platform, the survey questionnaire was sent to 650 academics working in higher education. The results reveal that task and work responsibilities I-deals and flexibility I-deals, are positively associated with the academics' work engagement and that PE mediates those relationships. Additionally, the internal locus of control strengthens the positive relationship between task and work responsibilities I-deals and PE, and it enhances the indirect effect of task and work responsibilities I-deals on academics' work engagement through PE. Though, this study did not find the moderating effect of internal locus of control on the flexibility I-deals-PE relationship; however, the results indicate that internal locus of control boosts the indirect effect of flexibility I-deals on academics' work engagement through PE.