Risk, Retention, and the Algorithmic Institution: Artificial Intelligence as a Policy Response to Higher Education in Crisis.

This article examines the adoption of artificial intelligence (AI) systems in Ontario’s post-secondary education sector as a response to financial pressures stemming from federal immigration reforms and provincial funding constraints. It highlights how AI technologies—such as predictive analytics and early warning systems—are used for student retention, resource allocation, and program planning, but also raise significant concerns about bias, surveillance, and opacity, particularly affecting marginalized student populations. The analysis underscores the inadequacy of existing Canadian privacy laws and the failure of federal AI legislation (notably the Artificial Intelligence and Data Act, AIDA) to provide comprehensive governance, calling instead for sector-specific regulation, human oversight, and equity-centered design inspired by international models like the European Union’s AI Act. The article concludes with policy recommendations for institutional, provincial, and federal levels to ensure AI systems in higher education align with democratic values of fairness, transparency, and accountability while mitigating risks of reinforcing inequities.