The council announced the settlement Tuesday night, the Oakland Tribune reported.
In addition to cash payments, the city agreed to seven years of supervision by federal courts of its crowd control policies.
"We hope that we will no longer have to keep bringing these lawsuits, but it's been a very long road with Oakland police, so it remains to be seen whether there will be compliance," said Rachel Lederman of the National Lawyers Guild, who represented the plaintiffs.
A woman who was hit by flash-bang grenades is to receive almost half the money, $500,000. Scott Campbell, an Oakland videographer who was filming when he was hit by a bean bag fired by police, is to get $150,000.
The smallest payments are for $20,000.
The plaintiffs were injured in confrontations with police during large demonstrations in October and November 2011.