Clinical Laboratory Compliance Improvement Act of 2005

Clinical Laboratory Compliance Improvement Act of 2005 - Amends title XVIII (Medicare) of the Social Security Act to require each provider or clinical laboratory approved for participation under Medicare to provide clinical diagnostic laboratory tests to post in a conspicuous place a notice to employees that indicates the manner in which to report instances of noncompliance with conditions of participation.

Prohibits such a provider or clinical laboratory from discriminating against or retaliating in any manner against any employee because that employee, or any other person, has presented a grievance or complaint, or has initiated or cooperated in any investigation or proceeding of any kind, relating to the clinical diagnostic laboratory tests performed or other requirements and prohibitions of Medicare. Provides for judicial action for any employee so aggrieved.

Requires the investigative organization, upon receipt of a report of an instance of noncompliance, to: (1) provide notice to the Secretary and other investigative organizations involved of receipt of the report within three business days, using a standard format and manner of transmission developed by the Secretary for such purpose; (2) promptly determine whether to investigate the report; and (3) if appropriate, promptly investigate it.

Requires that the Secretary, in measuring the performance of an investigative organization under contract, to provide for appropriate adjustments to payments for failure to carry out the responsibilities of this Act. Subjects each provider or clinical laboratory to a standard survey, including verification of compliance with requirements, conducted without prior notice. Makes liable for civil monetary penalties any individual who notifies (or causes to be notified) a provider or laboratory of the time or date on which such a survey is scheduled to be conducted.