The Mahila Congress workers led by president Shobha Oza had gathered outside Gaur's residence to protest.
They had planned to burn the effigies of Chief Minister Shivraj Singh Chouhan and Gaur, but were stopped from doing so.
"It was extremely unfortunate that the police used water canons on workers who had gathered only to stage a peaceful demonstration," Oza later told reporters.
"We live in a democratic country and it is our right to stage demonstrations," she said.