If you have log redundancy enabled on Panorama, you can use the below command to below command to turn on data compression.
debug log-collector inter-log-collector data-compression set on
I don't believe there's any other sort of log compression features outside of this - at least that you can turn on; I'm sure there will be compression going on behind the scenes in regards to compressing logs.
A little story in a scenario where we had to use this command - we had a case before where we were sending a lot of logs to Panorama - and because the log redundancy option was enabled, the Log Collector had to start throttling incoming logs so we saw 10+ hours of delay in the traffic logs. The above command, in conjunction with the LC preference list solved our particular issue ;)
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