(7) The agency/office shall submit through the Office of the Regional Governor, its proposed Merit Selection Plan to the Civil Service Commission for approval. However, recruitment and appointment of officials to third level positions shall be governed by pertinent provisions as provided for in the qualifications set forth in their respective departments, agencies, commissions or offices. In addition, applicants to said third level positions must possess executive and managerial competence. SEC. 2. Promotion. - An employee may be promoted or transferred to a position which is not more than three (3) salary steps or job rate higher than the employee‟s present position, except in very meritorious cases, such as, if the vacant position is next-in-rank as identified in the System of Ranking Positions approved by the head of the agency or office, or the lone or entrance position indicated in the agency‟s staffing pattern. (1) Before being considered for promotion, an employee should have rendered at least a very satisfactory performance in his/her present position for the last rating period; (2) The appointing authority may appoint an applicant who is not the next-in-rank but possesses superior qualification/s and competence, and has undergone the selection process; (3) An employee who is on local or foreign scholarship or training grant or on a maternity leave may be considered for promotion. The performance rating of the concerned employee shall be his/her rating immediately prior to the scholarship or training grant or maternity leave. His/her promotion shall be in effect upon assumption to duty; and (4) Promotion within six (6) months prior to compulsory retirement shall not be allowed, except as otherwise provided by law. SEC. 3. Grievance. - Grievance which refers to work related issued giving rise to employee dissatisfaction shall be acted upon by the agency/office based on the following guidelines: (1) A grievance shall be resolved expeditiously at all times at the lowest level possible in any agency/office of the ARMM. However, if not settled at the lowest level possible, an aggrieved party shall present his/her grievance step by step following the hierarchy of positions; (2) All agencies shall establish a Grievance Machinery which is the best way to address grievance between or among government officials and employees to be approved by the Civil Service Commission; (3) The aggrieved party shall be assured freedom from coercion, discrimination, reprisal and biased action on grievance; 213