Pagination issue with Archive when 2 Posts Modules are used

I have a situation where I’m using 2 Post Modules on a single Archive template. The first Post Module is set to show the newest post only (styled to be large) with no pagination. The second Post Module sits below and shows a grid of posts (offset by one, not showing the newest post) and has pagination enabled.

A normal second-page pagination URL for the Archive would be: /blog/page/2/. For my scenario with the second Post Module, I’m getting the second-page pagination URL as: /blog/paged-2/2/, and that gives a 404 error.

If I remove the first Post Module, pagination for the Archive works as expected.

Is it not possible to have more than one Post Module on a Beaver Themer Archive template? Or is there a workaround to make it work?