This paper compares empowerment process in two states of India （Kerala and Tamil Nadu） with similar policy of reservation and the levels of social development. However，they have a large difference in the level of women empowerment in rural local government. This paper brings out various factors critically affecting women empowerment basing on the experiences of Kerala and Tamil Nadu. In Kerala，women can overcome the limits of reservation and assert their rights for political participation. Because of higher level of political mobilization，more than 50% of the positions are occupied by women in current Kerala. This paper also explains the capacity of women leaders to cope with challenges of globalization and to protect the livelihood rights of the poor.