An official from the militant construction union has been ordered to pay nearly $20,000 from his own pocket after the Federal Court's first ruling to exercise new powers.

The court said the intention of the personal penalty was to "sting" the union official with the burden of a fine that could not be passed on to the well-resourced union, which has tens of millions of dollars in assets.

The order on Monday follows a significant High Court ruling that allowed the Federal Court to order a personal payment from an individual union official instead of allowing the union to foot the bill on their behalf.

A CFMMEU official has been ordered to pay a fine out of his own pocket. Credit:Luis Enrique Ascui

The Federal Court had upheld a Construction, Forestry, Mining and Energy Union appeal allowing it to reimburse the union official, Joseph Myles, in 2016. But the Australian Building and Construction Commission successfully challenged the decision in the High Court of Australia.