In the General Elections of 1936, Giri defeated the Raja of Bobbili to become a member of the Madras Legislative Assembly. Between 1937–1939, he was Minister for Labour and Industry in the Congress government headed by C Rajagopalachari. Giri was appointed Governor of the National Planning Committee of the Indian National Congress in 1938. In 1939, the Congress ministries resigned in protest against the British decision to make India a party in the Second World War. Having returned to the labour movement, Giri was arrested and spent 15 months in prison till March 1941.