The undisclosed fee will be given to children in East Africa after employee Simon Wood, who was accused of assaulting the minors, committed suicide in 2013, the BBC said.
Wood, 54, of Potters Bar, Hertfordshire, was hit by a train days before he was due to appear in a UK court charged with the abuse in Africa and the UK.
BA has agreed to the settlement but has denied its liability for the offences.
Lawyers of the affected families have claimed the airline is responsible due to the alleged victims being assaulted by Wood while he was on stopovers working for the company in the region.
