Emerging technological tools like Artificial Intelligence-based Chatbots, digital educational alternatives and market-driven educational systems pose a challenge to the fundamental aim of the higher education system; comprehensive education for well-being. Therefore, this research aims to devise and evaluate strategies to impart new-age competencies to innovate socially and morally appropriate solutions in a modern competitive innovative society. The 8-month-long immersive learning framework (ILF), was designed based on the volatility, uncertainty, complexity, and ambiguity (VUCA) paradigm. The framework was evaluated with 133 newly joined postgraduate students doing their science or arts programmes from a higher education institution in Kerala, India. The outcome variables included well-being, depressive symptoms, personality patterns, and sub-domains of philosophy of human nature. The follow-up scores showed a significant improvement in well-being (Mean difference: 1.15, p = 0.005), trustworthiness (Mean difference: 14.74, p = 0.000), strength of will (Mean difference: 10.11, p = 0.000), altruism (Mean difference: 12.85, p = 0.000), and independence (Mean difference: 11.93, p = 0.000). Depression scores did not improve significantly. However, the intervention shielded them from the adjustment issues that often accompany any transition. The ILF framework can help students develop their personal and professional selves if it is implemented collaboratively in a reflective setting. It can also instil moral rectitude and a prosocial mindset.