How to move the content in the subfolder of a subfolder of a root folder to its parent folder without flattening them using PowerShell?

I’m on a Windows 11 machine, and I need a PowerShell command/script to do it.

I have a root folder with the following structure:

Root
   Folder A
      Packaging Folder A
         Folder A1
            1.png
            2.png
         Folder A2
            1.png
            2.png
         Folder A1.zip
         Folder A2.zip
   Folder B
      Packaging Folder B
         Folder B1
            1.png
            2.png
         Folder B2
            1.png
            2.png
         Folder B1.zip
         Folder B2.zip
   Folder C
   Folder D
   ...

I want a script to move the folders and files in the Packaging folders directly under its parent folder without flattening them. In other words, the resulted folder structure should look like this:

Root
   Folder A
      Packaging Folder A
      Folder A1
         1.png
         2.png
      Folder A2
         1.png
         2.png
      Folder A1.zip
      Folder A2.zip
   Folder B
      Packaging Folder B
      Folder B1
         1.png
         2.png
      Folder B2
         1.png
         2.png
      Folder B1.zip
      Folder B2.zip
   Folder C
   Folder D
   ...

Note that the .png files in Folder A1, A2, B1, B2, etc should NOT be moved under Folder A, B, etc (what I mean by “flattening them”).

I tried the following code to solve the problem:

$Root = "I:root"

Get-ChildItem -LiteralPath $Root -Directory | ForEach-Object {
    $ParentFolder = $_
    Get-ChildItem -LiteralPath $ParentFolder.FullName -Directory | ForEach-Object {
        $SubSubFolder = $_
        # Move all files and folders inside the sub-subfolder up to the parent folder
        Get-ChildItem -LiteralPath $SubSubFolder.FullName | Move-Item -Destination $ParentFolder.FullName
        
        # Optional: Remove the now-empty sub-subfolder
        Remove-Item -LiteralPath $SubSubFolder.FullName
    }
}

The problem with the code above is that it flattens the Folder A1, A2, B1, B2, etc (i.e. move the png files directly under Folder A, B, etc).
The code above also reports the following error “Move-Item : Cannot create a file when that file already exists.” The cause of the error is that, Folder A1 and A2 contains png files with same names, so they can’t be flattened under the same directory (Folder A).

I would greatly appreciate if someone can help with the flattening issue.